Home General How to Finance a Sober Living Facility with Government Grants

How to Finance a Sober Living Facility with Government Grants

by Olufisayo
Sober Living Facility

There are a wide variety of government grants available for a multitude of reasons. One funding available is to benefit a sober living facility or halfway house. You must first get the IRS to recognize you as a 501-3, nonprofit faith-based or a community-based halfway house.

Your particular halfway house is, as a rule, within the ZIP Code location where the client resides. The first step is to download a 501-3 application form from the IRS website. Know that even though government grants are plentiful for many businesses, there are limited resources, along with a wide variety of rules and regulations you must abide by. Your transitional halfway house targets specific populaces such as homeless veterans, recovering drug users, alcoholics, abused women, or troubled youths, to mention a few.

You will find you are eligible to apply for one of three primary types of government grant funding for your not-for-profit halfway house as follows.

  • Contract for services
  • Government-guaranteed loans
  • Government grants

If you want to run a for-profit halfway house, you may find that government and private foundation grants are largely barred. Before you commit to a for-profit halfway house, check with resources such as the Bureau of Prisons. You must check your state’s eligibility requirements and try to obtain a contract. Know what limitations the government sets on grants for a for-profit halfway house such as,

  • You will find that the federal and state governments provide no grants to start a business.
  • Grants are not given for debt payoff or to help you cover operational expenses.

Government grants are awarded to a not-for-profit halfway house if the house is an ongoing business and not a new startup company. Government grants are awarded for the following reasons.

  • To fund specific industries.
  • Targets specific programs.
  • Targets specific populations
  • May fund creative re-entry programs for specific populaces
  • May fund transitional housing for abused women
  • May fund recovery programs for recovering addicts and alcoholics

When we say that the government provides two grants to eligible business owners, the funds can come from various sources. These two types of grants include formula or discretionary grants, and we can help you navigate all this information.

  • United States Justice Department
  • The Department of Housing and Urban Development
  • The Department of Labor

Discretionary Grants

Your resource for all government grants are accessed through Grants.gov for a list of discretionary grants.

Federal Block Grants

The Catalog of Domestic Federal Assistance for all federal block grants to state and local governments benefiting halfway houses.

Access Grants.gov and follow specific steps to apply for a government grant online. What may seem a simple process is not simple. This is where we can offer our assistance. We are a seasoned company that has helped hundreds of people acquire government grants and set up quality halfway houses. In addition to government funding, there is another resource in which you can receive funds quickly. See how you can finance your sober-living facility with car title loans.

Major Grant Organizations

How you apply for a government grant changed significantly over the last year. These changes come in the process of registration when applying for the System for Award Management.

SAMHSA says that there are many opportunities through Funding Opportunity Announcements. You must first register on Grants.gov. Your application is reviewed before peer reviewers who are not affiliated with SAMHSA.

Other resources that help you find funding opportunities include visiting the website and applying for a New SAMHSA Grant.

You will find the following information.

  • Training events
  • Registration requirements
  • How to submit our application
  • A list of available application forms and valuable resources
  • Consumer and family guidelines

Once the grant is awarded, SAMHSA collectively works with you; you, the recipient will use this financial assistance while SAMHSA helps you manage the award through, 

  • Training events
  • Notice of award
  • Regulations and policies
  • Reporting requirements
  • Post-award changes
  • Continuation Grants
  • Grant Closeout

Another resource that could help you in your endeavor to open up a not-for-profit halfway house is The Echo Foundation Recovery Housing Initiative. The goal of Echo is to provide housing scholarships to clients in need of financial help and safe housing while in transition or rehabilitation on an outpatient program.

This program came into existence with the clear understanding that few clients find housing coverage either during or after rehabilitation through their treatment plan or insurance programs. Echo can help the recovering client because of private donations and require ongoing support to help the most vulnerable clients.

Get Help to Start Your Halfway House Today

Our seasoned company has helped hundreds of people start their own halfway house. We are at your side from beginning to end and beyond. We help you to jump the hoops and cut the red tape of bureaucracy to realize the funding for your halfway house and government grants to help you along the way.

We have available lots of valuable information to help you succeed in your endeavors to help those recovering from various situations and give you the tools you need to help these people succeed in family and work life. Download our guidebook to get started.

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