Small Business Capital and Infrastructure Grant Program

The Small Business Capital and Infrastructure Grant Program, administered by the Illinois Department of Commerce and Economic Opportunity (DCEO), is a continuation of the Office of Economic Equity & Empowerment’s 2020 Capital Grant Program. It is designed to support the economic growth and sustainability of small businesses across the state of Illinois. The program reflects the Administration’s emphasis on equitable economic opportunity, particularly for businesses owned by socially and economically disadvantaged individuals (SEDI) and Very Small Businesses (VSBs). These groups often face systemic barriers to accessing capital and resources. This grant program seeks to redress those disparities by funding capital improvement projects that enhance business infrastructure, promote long-term resilience, and facilitate job creation and retention in underserved communities. The 2024 iteration of the program builds upon prior success, aiming to support businesses in overcoming financial challenges through investments in operational growth. Eligible projects include a wide range of capital improvements such as architectural planning, engineering design, site acquisition, demolition, new construction, utility work, facility expansion, and asset replacement. These investments are targeted at improving business functionality, modernizing operations, and ensuring long-term sustainability. Special consideration will be given to projects located in Community Development Financial Institution (CDFI) Investment Areas due to their heightened economic need and potential community impact. Applicants must be small businesses operating in Illinois, either owned by SEDI individuals and employing no more than 25 full-time permanent employees, or classified as VSBs with fewer than 10 employees. The program is open to for-profit entities and individuals who meet these size and ownership criteria. Funding is distributed through project grants on a reimbursement basis, and successful applicants are expected to provide quarterly performance and financial reports over a 24-month period. This requirement ensures accountability and enables the Department to measure outcomes related to job creation, infrastructure improvement, and economic revitalization. The application process involves submission through a Smartsheet application platform, the URL for which will be provided at the time of program launch. All applicants must be registered in the Illinois Grant Accountability and Transparency Act (GATA) Grantee Portal prior to applying. A standard application package—including a Uniform Grant Application, Uniform Budget, Conflict of Interest Disclosure, Mandatory Disclosures, and supplemental project documentation—is required. Applications will be evaluated through a merit-based review process, and final award decisions will consider both project score and geographic distribution to ensure statewide impact. Though the exact application window and deadline have not yet been published, the program is considered recurring, with prior funding rounds in FY2019, FY2023, and FY2025. Applicants should monitor the DCEO Grant Opportunities page for updates on the Notice of Funding Opportunity (NOFO) and any pre-application requirements or Q&A periods. Appeals of the review process may be submitted within 14 days of the award notice being published, though only procedural issues (not evaluation scores) may be challenged. This program underscores Illinois’ commitment to equitable access to capital and resources, emphasizing the empowerment of underserved business owners and communities. By focusing on infrastructure and capital development, the grant enables small businesses to modernize, expand, and thrive—ultimately contributing to a stronger and more inclusive state economy. Previous awardees include diverse enterprises such as daycares, bakeries, construction firms, and educational service providers, reflecting the program’s broad applicability and impact.