How business grant applications work
Last updated 2026-09-01
Grant processes vary, but most follow a recognisable pattern. Knowing the stages helps you plan and avoid the most common reason for rejection: spending money before approval.
The usual stages
- Eligibility check or expression of interest
- Full application with costs, quotes and a project description
- Assessment against published criteria, sometimes by a panel
- Offer letter setting out conditions and deadlines
- Delivery of the project
- Claim with invoices and proof of payment, then payment in arrears
Never start before approval
Most funders will not pay for costs committed before the offer letter is signed. If timing is tight, ask the funder in writing before ordering anything.
Expect payment in arrears
Many grants reimburse you after you have paid the supplier, so plan the cash flow. Some programmes pay in stages against agreed milestones.