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Best Grants for Nonprofits in Texas

Texas Business Grants Research Team

Texas nonprofits have access to a distinct set of grant programs that differ from for-profit business incentives. Federal agencies, state departments, and private foundations all provide funding specifically for 501(c)(3) organizations, and some programs that serve for-profit businesses also accept nonprofit applicants. Understanding which programs apply to your nonprofit's mission and activities is the first step toward securing funding.

This guide identifies the best grant and incentive programs available to Texas nonprofits, organized by funding source and accessibility.

1. Grants.gov Federal Programs

The federal government is the largest single source of nonprofit grant funding. Grants.gov lists thousands of active federal grant opportunities across every agency. Texas nonprofits in healthcare, education, housing, workforce development, community development, and social services can find relevant federal funding through this portal. Registration in SAM.gov and obtaining a UEI number are prerequisites for all federal grants.

2. Texas Health and Human Services Grants

The Texas Health and Human Services Commission administers numerous grant programs for nonprofits providing social services, behavioral health, substance abuse treatment, family violence prevention, aging services, and disability services. These state-funded programs represent some of the largest grant opportunities available to Texas nonprofits.

3. USDA Rural Development Grants

Nonprofits operating in rural Texas communities can access USDA programs including Community Facilities Grants, Rural Business Development Grants, and Rural Housing programs. USDA defines rural broadly, and many Texas communities outside major metros qualify. Rural grant programs guide.

4. CPRIT Cancer Prevention Grants

Nonprofits focused on cancer prevention and outreach can apply for CPRIT prevention grants. These awards fund community-based cancer screening, education, and prevention programs across Texas. CPRIT prevention grants are separate from the research grants that primarily serve for-profit and academic entities.

5. Texas Workforce Commission Grants

Nonprofits that employ workers can access Skills Development Fund training grants and other TWC programs. Nonprofits serving as workforce intermediaries or operating job training programs can also access funding through TWC competitive grant cycles.

6. Community Development Block Grants (CDBG)

HUD-funded CDBG programs flow through Texas cities and counties to support community development activities. Nonprofits can access CDBG funding for facility improvements, public services, economic development, and housing activities in eligible areas.

7. Property Tax Exemptions

Texas 501(c)(3) organizations are eligible for property tax exemptions on property used for their exempt purpose. This includes office space, program facilities, and other real property directly related to the nonprofit's mission. The exemption must be applied for through the local appraisal district.

8. Sales Tax Exemptions

Qualifying Texas nonprofits can obtain sales tax exemption on purchases related to their exempt purpose. The Texas Comptroller issues exemption certificates to eligible organizations. This exemption covers supplies, equipment, and other purchases used in the nonprofit's exempt activities.

9. SBA Community Advantage Loans

Nonprofits that operate revenue-generating activities can access SBA Community Advantage loans through mission-based CDFI lenders. While not grants, these loans offer favorable terms for nonprofits that need capital for facility acquisition, expansion, or operational needs.

10. Texas Commission on the Arts

Nonprofits with arts and cultural programming can apply for grants from the Texas Commission on the Arts. The TCA funds organizational support, project grants, and touring arts programs for qualifying cultural organizations across Texas.

Key Differences From For-Profit Programs

  • Mission alignment required: Most nonprofit grants require the funded activities to align with the organization's stated exempt purpose.
  • Reporting is more extensive: Nonprofit grantees typically face more detailed reporting requirements including financial audits and program outcome metrics.
  • Matching funds may be required: Many nonprofit grants require the organization to provide matching funds from other sources.

Find Programs That May Fit Your Nonprofit

Texas nonprofits have access to both nonprofit-specific grants and many programs that also serve for-profit businesses. The right mix depends on your mission, service area, target population, and organizational capacity.

Not sure which programs may fit your organization? Our free screening report checks your organization against 150+ verified programs and shows you which ones may match. Start your free screening →

Disclaimer: This article is for informational purposes only and does not guarantee eligibility or funding. Government agencies make final eligibility and funding decisions. Program details may change; verify directly with the administering agency before applying.

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