Texas business owners looking for “business funding near me” have more options than most realize. Government-backed funding in Texas comes through multiple channels: grants, subsidized loans, tax credits, workforce training programs, and local incentives. Understanding the landscape helps you pursue the programs most likely to provide meaningful capital.
Government Grant Programs
True grants — funds that do not require repayment — are the most competitive category. Major grant programs available to Texas businesses include:
- SBIR/STTR: Federal research grants for technology-focused businesses, $50,000 to $1.5 million across phases. SBIR guide.
- Texas Enterprise Fund: State cash grants for major employers. TEF guide.
- USDA REAP: Grants for rural businesses investing in renewable energy or energy efficiency.
- City micro-grants: Local competitive grants typically $2,500 to $25,000.
Government-Backed Lending
Government-backed loans offer better terms than conventional financing. Programs available to Texas businesses include:
- SBA 7(a): Up to $5 million with government guarantee. 7(a) guide.
- SBA 504: Fixed-asset loans up to $5.5 million with below-market rates. 504 guide.
- SBA Microloans: Up to $50,000 through nonprofit lenders.
- CDFI lending: Community-based lending for underserved entrepreneurs.
Tax Credit Programs
Tax credits provide dollar-for-dollar reductions in tax liability and are often more accessible than competitive grants:
- R&D Tax Credit: Up to $250,000/year against payroll taxes for qualifying startups. R&D guide.
- WOTC: $2,400 to $9,600 per qualifying hire.
- Section 179: Up to $1.16 million in first-year equipment deductions.
- Property tax abatements: Local programs reducing property taxes. Guide.
Workforce Training Funding
The Texas Workforce Commission administers programs that fund employee training, effectively reducing your labor development costs:
- Skills Development Fund: Training grants through community college partnerships. Guide.
- Self-Sufficiency Fund: Training grants for businesses hiring from public assistance populations.
Finding Funding Near You
- Start with your SBDC. Free advising on available programs. Find your SBDC.
- Contact your city economic development office. Local incentive programs are administered at the city level.
- Use SBA Lender Match. Connects you to SBA-approved lenders based on your loan needs.
- Check CDFI directories. Community lenders serve entrepreneurs who may not qualify for bank loans.
Find Funding Programs That May Fit
Our free screening report checks your business against 150+ verified funding programs — grants, loans, tax credits, and incentives — and shows you which ones may match based on your location, industry, and business details. Start your free screening →