Funding Options for For-Profit Microschools: Grants, Loans, and Other Resources

Starting and running a for-profit microschool comes with unique financial challenges. While many funding sources cater to nonprofits, there are still grants, loans, and alternative funding options available to LLCs. Below are 10 funding sources that microschool founders have successfully used to grow their schools.

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Grants for For-Profit Microschools

1. Vela Education Fund

One of the best-known funding sources for microschools, Vela offers microgrants ($10K–$25K) and larger grants for innovative education models.

Apply here

🔗 https://velaedfund.org/

2. Yass Prize & STOP Awards

The Yass Prize provides large funding opportunities (up to $1 million) for education innovators, including for-profit microschools.

Learn more

🔗 https://yassprize.org/

3. 4.0 Schools

Offers fellowships and seed funding for early-stage education entrepreneurs. They support both for-profit and nonprofit ventures.

Apply here

🔗 https://4pt0.org/

4. New Schools Venture Fund

Focuses on innovative education solutions, including microschools, and provides investment funding and grants.

More info

🔗 https://www.newschools.org/

5. Emerging Founders Grant (Camelback Ventures)

Supports underrepresented education entrepreneurs with funding, coaching, and networking.

Explore opportunities

🔗 https://www.camelbackventures.org/

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Loans & Alternative Funding Sources for Microschools

6. Kiva Microloans

Crowdfunded, zero-interest loans up to $15,000 for small businesses, including education-based ventures.

Apply here

🔗 https://www.kiva.org/borrow

7. DreamSpring

Provides small business loans, including microloans, for education-based businesses and other ventures.

Check eligibility

🔗 https://www.dreamspring.org/

8. IFundWomen

A crowdfunding platform with grant programs specifically for women entrepreneurs.

Start here

🔗 https://www.ifundwomen.com/

9. Local & State Business Grants

Many states offer small business grants that include education entrepreneurs. Check your local Economic Development Council or Small Business Administration (SBA) office.

Find state funding

🔗 https://www.grants.gov/

10. Revenue-Based Financing (e.g., Lighter Capital, Founders First Capital)

Alternative funding for growing businesses, where repayment is based on a percentage of revenue rather than fixed loan payments.

Lighter Capital

🔗 https://www.lightercapital.com/

Founders First Capital

🔗 https://foundersfirstcapitalpartners.com/

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Final Thoughts

While for-profit microschools may not have access to traditional education grants designed for nonprofits, there are still multiple funding options available. Whether through Vela’s microgrants, Kiva loans, or revenue-based financing, finding the right mix of funding can help your microschool grow sustainably.

Looking for more resources? Join Launch Your Kind to connect with other microschool founders and stay updated on funding opportunities.