Georgia small business grants

Funds for starting up or expanding in Dixie

Entrepreneurs just starting or already operating a technology or manufacturing company in the Savannah River region of South Carolina and Georgia can apply for financing through four programs coordinated by the Savannah River Regional Diversity Initiative (SRRDI).

The Small Business R&D Seed Fund, Challenge Fund I and Challenge Fund II for Technical Innovation and Development offer matching grant funds to support the start-up or expansion of businesses with new products or improvements to existing processes. Company owners must have a one-to-one in-kind or cash match for each dollar sought. Because SRRDI's primary goal is job creation, the seed money can be used only for salaries, prototype development and equipment directly related to the new project.

The R&D Seed Fund offers one-year grants of up to $25,000. Challenge Funds I and II provide loans of up to $150,000 and require payback after two years. Start-ups are ineligible for Challenge Fund II, however. That fund is open only to existing businesses with revenues of more than $1 million.

Small-business owners can also apply for up to $250,000 from SRRDI's in-house venture-capital fund. The proceeds can be used for any purpose, and the investment is secured with preferred stock, which the company agrees to buy back after five years at double the value of the original investment.

The SRRDI is targeting five counties: Aiken, Allendale and Barnwell counties in South Carolina, and Augusta-Richmond and Columbia counties in Georgia. For more information, call (803) 593-9954, ext. 1402.