State and federal programs offer millions in non-repayable funds for Maryland entrepreneurs across diverse industries and business stages
Annapolis, MD – Maryland small businesses have access to an unprecedented array of grant opportunities in 2026, with state agencies, federal programs, and corporate initiatives collectively offering tens of millions of dollars in non-repayable funding. For entrepreneurs seeking capital without diluting ownership or taking on debt, these grant programs represent critical resources for growth, innovation, and operational sustainability.
Unlike traditional financing options, grants provide capital that businesses never have to repay, making them highly competitive but potentially transformative funding sources. Maryland’s 2026 grant landscape includes opportunities ranging from $5,000 international marketing assistance to $2 million innovation investments, serving businesses across all stages and sectors.
Major State Grant Programs
BGE Energizing Small Business Grant
Since its 2021 inception, the program has distributed $14.86 million to 741 local businesses across various industries. Notably, over 65% of grants have supported businesses owned by people of color, and more than 68% have gone to women-owned enterprises, reflecting the program’s commitment to addressing historic capital access disparities.
Eligibility requires businesses to be existing BGE electric or gas customers in good standing, operating for at least one year, and registered with Maryland’s Department of Assessments and Taxation. The program prioritizes businesses demonstrating growth potential and community impact.
Purple Line Small Business Grant Program
The Maryland Department of Transportation launched this $4 million program to support businesses affected by Purple Line construction.
The program offers up to three application rounds annually, with Round 3 applications opening October 6, 2025. Eligible businesses must be located within one-quarter mile of Purple Line tracks, have operated at their current location since before January 1, 2022, and demonstrate construction impact on operations. PurplelinemdMaryland OneStop
Grant funds can support payroll, healthcare benefits, rent, mortgage payments, supplier costs, equipment purchases, and other critical operating expenses. Second round funding in August 2025 awarded over $500,000 to more than 40 businesses, with individual grants ranging from $5,000 to $40,000.
Maryland Department of Housing and Community Development Grants
DHCD administers $10 million in small business and community development grants targeting investments in vacant commercial spaces and startup support. Small Business Grants The program focuses on activating business corridors and supporting entrepreneurial ventures in underserved communities.
These grants particularly benefit businesses contributing to downtown revitalization and neighborhood economic development, aligning with broader state objectives of commercial district activation and job creation in target areas.
Technology and Innovation Funding
TEDCO Programs
The Maryland Technology Development Corporation offers multiple funding streams for technology-focused and innovation-driven businesses. TEDCO’s portfolio includes seed funding for startups, social impact investments, and commercialization support for university research.
The Concept Capital program provides $25,000 grants to underrepresented founders, with top performers eligible for an additional $25,000 through competitive pitch events. TEDCO | Maryland Entrepreneur Funding and Investments The program specifically targets bridging the early-stage funding gap for diverse entrepreneurs across Maryland.
TEDCO recently received a $10 million federal award through the State Small Business Credit Initiative’s Investing in America Small Business Opportunity Program to establish the Business Resource Information, Development, and Guidance Ecosystem (BRIDGE) program. U.S. Department of the Treasury Awards $10 Million to Maryland to Support Technical Assistance for Small Businesses in the Mid-Atlantic Region | U.S. Department of the Treasury This initiative will provide tailored legal, accounting, and financial advisory services to help small businesses access capital, with particular focus on underserved communities and businesses in key sectors including electric vehicle manufacturing, semiconductor production, construction, transportation, and clean energy.
Maryland Innovation Initiative
This program promotes commercialization of university research through grants to faculty members and startups licensing university technology. Quarterly application cycles provide opportunities for technology assessment grants and company formation investments.
Full-time faculty at qualifying Maryland universities can apply for technology assessment funding, while Maryland-based startups that have licensed university technology within 12 months are eligible for company formation investments. The program requires appropriate intellectual property protection and technology transfer office disclosure.
Maryland Innovation Investment Tax Credit
This program provides matching grants up to $2 million to projects demonstrating transformative impact in accelerating growth and innovation across various technology sectors. Financial Incentives | Maryland Business Advantages The program targets businesses developing breakthrough technologies with significant commercialization potential and economic development impact.
Industry-Specific Grant Opportunities
Manufacturing Modernization Grants
Maryland offers grants to small and mid-sized manufacturers investing in Industry 4.0 technologies, machinery, robotics, and digital business practices. Financial Incentives | Maryland Business Advantages These funds help manufacturers remain competitive through technological advancement and operational efficiency improvements.
The program recognizes that capital-intensive equipment upgrades often pose barriers for smaller manufacturers, and grant funding helps bridge the investment gap necessary for competitiveness in modern manufacturing environments.
International Marketing Assistance Program
Maryland companies pursuing international market expansion can receive up to $5,000 in reimbursement for expenses associated with international marketing projects, including trade shows and business development travel. Top Small Business Grants for 2025 in Maryland | Tailor Brands To access this program, businesses should contact the Maryland Department of Commerce at international@maryland.gov or call 667-263-9354 to be connected with appropriate regional managers.
The program particularly benefits small and mid-sized companies that have identified international growth opportunities but face financial constraints in executing market entry strategies.
Federal Grant Programs
Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR)
These highly competitive federal programs support domestic small businesses engaged in research and development with commercial potential. Maryland businesses can access these programs through various federal agencies including the Department of Energy, National Science Foundation, and Department of Defense.
Awards are structured in phases, with Phase I providing proof-of-concept funding, Phase II supporting prototype development and commercialization planning, and Phase III focusing on commercialization with non-SBIR/STTR funding. Maryland’s strong research infrastructure and university partnerships position state businesses well for these opportunities.
Department of Energy Grants
Federal energy grants support Maryland businesses working in renewable energy, nuclear technology, carbon management, and energy efficiency. Award amounts vary significantly based on project scope and technological readiness, with opportunities spanning early research through commercial deployment.
Corporate and Private Foundation Grants
FedEx Small Business Grant Contest
FedEx’s annual small business grant program provides significant funding to winning businesses. Past competitions have awarded grants ranging from $7,500 to $50,000, with winners selected based on business story, innovation, and community impact. Maryland businesses have historically competed successfully in this national program.
Visa Foundation Grants
The Visa Foundation periodically offers grants targeting small business owners, with particular focus on underserved, diverse, and women entrepreneurs. While specific 2026 programs have not been announced, businesses should monitor the foundation’s website for emerging opportunities.
Targeted Programs for Diverse Business Owners
Maryland has prioritized expanding grant access for historically underserved business communities. Multiple programs specifically support minority-owned, women-owned, and economically disadvantaged entrepreneurs.
Maryland supports women-owned businesses through financing and grant programs tailored to these enterprises, aiming to create equal opportunities and promote diversity in the state’s business sector. Small Business Funding Programs in Maryland – 2025 Guide
TEDCO’s Social Impact Funds maintain minimum ownership requirements for individuals demonstrating economic disadvantage, ensuring grant capital reaches entrepreneurs who face traditional financing barriers. The Pre-Seed Builder Fund and Inclusion Fund specifically target underrepresented founders with growth-stage businesses.
Strategic Application Guidance
Successfully securing grant funding requires strategic approach and thorough preparation. Maryland businesses should consider these key factors:
Eligibility Verification: Most programs require businesses to be registered with Maryland’s Department of Assessments and Taxation, maintain good standing with state and federal tax authorities, and meet specific operational history requirements. Verify eligibility before investing significant application effort.
Documentation Preparation: Grant applications typically require business financial statements, tax returns, business plans, and detailed budget narratives explaining fund usage. Maintaining organized financial records throughout the year facilitates efficient application completion.
Application Timing: Many programs operate on specific cycles with firm deadlines. The BGE grant closes June 13, Purple Line grants have quarterly cycles, and TEDCO programs maintain rolling or quarterly deadlines. Calendar management ensures businesses don’t miss critical windows.
Competitive Positioning: Grant reviewers evaluate applications against specific criteria including innovation potential, job creation impact, community benefit, and financial need. Successful applications clearly articulate how grant funds will achieve measurable outcomes aligned with program objectives.
Multiple Applications: Businesses should pursue multiple grant opportunities simultaneously to maximize funding prospects. Many programs allow businesses to receive funding from multiple sources for different purposes or project phases.
Grant Management and Compliance
Receiving grant funding triggers ongoing compliance obligations. Most programs require:
- Fund Usage Documentation: Detailed records proving grant funds were used for approved purposes
- Progress Reporting: Regular updates on business outcomes and grant-funded activities
- Tax Implications: Grant funds are typically taxable income requiring proper tax planning
- Audit Cooperation: Willingness to provide documentation during program audits
Businesses should implement robust financial tracking systems before receiving grant funds to ensure proper stewardship and compliance with program requirements.
Resources and Support Services
Maryland businesses pursuing grant opportunities can access support through:
- Maryland Small Business Development Centers: Free consulting on grant identification and application preparation
- TEDCO Resources: Technical assistance for technology-focused businesses pursuing innovation grants
- Maryland Department of Commerce: Information on state programs and business development resources
- Local Chambers of Commerce: Networking opportunities and information on regional grant programs
Looking Forward
Maryland’s 2026 grant landscape reflects strong public and private sector commitment to small business growth and economic development. With funding available across diverse industries, business stages, and owner demographics, Maryland entrepreneurs have unprecedented opportunities to secure non-dilutive capital for growth initiatives.
As application deadlines approach throughout the year, businesses should prioritize grant research, eligibility assessment, and application preparation. For Maryland small businesses facing capital constraints, grant funding represents a strategic resource that can accelerate growth without the obligations of traditional financing.
Businesses interested in exploring grant opportunities should begin by reviewing program websites, attending information sessions, and consulting with business advisors to identify the best-fit funding sources for their specific circumstances and growth objectives.
For additional information on Maryland small business grants and application resources, visit the Maryland Department of Commerce at business.maryland.gov or contact your local Small Business Development Center.
