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Starting a business takes courage, and veterans are no strangers to that. The same qualities that carried them through service — discipline, leadership, and resilience — often make them exceptional entrepreneurs. Veterans own more than 1.9 million businesses and employ nearly 5.5 million Americans. A business is considered veteran-owned when a veteran holds at least 51% ownership and control of the company.
Yet even with these strengths, many veteran entrepreneurs face one familiar obstacle: finding the funding to turn their ideas into thriving businesses.
Why veterans face unique funding gaps
A report by the U.S. Small Business Administration (SBA) found that veteran-owned businesses tend to encounter more financing barriers than their non-veteran peers. According to the report, veterans apply for financing as often or even more often than other small business owners, yet they are more likely to come up short.
About 60% of veteran business owners report receiving less funding than requested, compared with 52% of non-veteran businesses. In addition, veterans experience lower loan approval rates, roughly 10% lower across major credit sources.
The reasons can vary: limited credit history, fewer civilian business connections, and gaps in traditional lending options. The good news is that there are programs built specifically for veterans. From veteran business grants you don’t have to repay to veteran small business loans with favorable terms, here is a look at some of the best options in 2025.
Veteran business grants to apply for in 2025
A grant is money awarded to your business that you do not have to pay back. It can help fund startup costs, purchase equipment, or expand operations without adding debt. Grants are often competitive and may target specific industries, business types, or community goals, but they can be an excellent way to get a financial boost early on.
Cornerstone Grant
Grantor: Square Financial Services and Square Banking
Amount: $10,000
The Square Cornerstone Grant helps entrepreneurs from underserved communities, including veterans, access capital, mentorship, and education to strengthen their businesses.
Grants.gov
Grantor: Multiple federal agencies
Amount: Varies
The official federal grant database where you can search and apply for opportunities from hundreds of agencies, including programs that support veteran-owned and service-disabled veteran-owned small businesses.
StreetShares Foundation Veteran Small Business Award
Grantor: StreetShares Foundation
Amount: $4,000–$15,000
One of the best-known private grant programs for veteran entrepreneurs, StreetShares awards funding to veteran-owned businesses making a positive community impact.
Veteran Woman Grant
Grantor: Texas Woman’s University – Center for Women Entrepreneurs
Amount: $5,000
This grant supports female veterans in Texas who are launching or expanding a small business, offering both funding and access to business resources.
Stephen L. Tadlock Veteran Business Grant
Grantor: Founders First CDC
Amount: $1,000 plus program access
Named after a U.S. Navy veteran, this grant provides micro-funding and business growth support for veteran-owned companies across the country.
Military Entrepreneur Challenge
Grantor: Second Service Foundation
Amount: Varies by event
This live pitch competition awards cash grants to veteran, active-duty, and military spouse entrepreneurs, along with mentorship opportunities.
Farmer Veteran Fellowship Fund
Grantor: Farmer Veteran Coalition
Amount: $1,000–$5,000
Created for veterans pursuing careers in agriculture, this fellowship provides direct funding for equipment and supplies to help launch or grow farm operations.
Top loan programs built for veterans
Unlike a grant, a loan is money you borrow and pay back over time, usually with interest. The advantage for veterans is that many lenders, including the SBA and private organizations, offer veteran small business loans with reduced fees, flexible terms, or dedicated support. Loans can be used for nearly any business purpose, from working capital to hiring or equipment purchases.
SBA Express Loans for Veterans
Lender: U.S. Small Business Administration (via the Veterans Advantage Program)
Amount: Up to $500,000
Veterans can access faster approvals and discounted fees through the SBA’s Express Loan program, ideal for small businesses that need quick working capital.
Military Reservist Economic Injury Disaster Loan (MREIDL)
Lender: U.S. Small Business Administration
Amount: Up to $2 million
If a key employee or owner is called to active duty, this SBA loan helps cover essential operating expenses and payroll to keep the business running until they return. It’s designed to prevent financial hardship for small businesses affected by military deployment.
Veteran Loan Fund
Lender: Veteran Loan Fund partners
Amount: Varies (over $25 million distributed annually)
The Veteran Loan Fund brings together community lenders across the country to offer low-interest loans and business education for veteran entrepreneurs who might not qualify for traditional bank financing.
Square Loans
Lender: Square Financial Services
Amount: Based on business data
Square Loans offers a simple, transparent way for business owners to access capital based on their real sales data, not just credit scores or lengthy paperwork. Eligible sellers can apply directly from their Square Dashboard, get approved in minutes, and receive funds as soon as the next business day. Repayments happen automatically as you make sales, with no interest or hidden fees — just one clear, flat amount.
Making the most of veteran-focused opportunities
Securing capital can be one of the toughest steps in building a business, but veterans now have more opportunities than ever to get the support they deserve. Grants like Cornerstone Grant, StreetShares, Tadlock, or Square Cornerstone Grant can give your business an early push without adding debt, while SBA programs and private lenders make financing more flexible and attainable.
Square supports business owners of every background, including those who have served. Whether you are managing day-to-day sales, paying staff, or looking for a quick funding boost, Square solutions and products are built to help you operate confidently and grow on your terms.
