How does grant money work? – Small Business Government Grants Covid 19

Grant money is used for research, projects, building a lab, expanding an existing lab, acquiring new equipment, and for equipment that can be used at the laboratory. Equipment can be used for everything from basic research to development of new technologies, from basic research to science communication and teaching.

What is a laboratory?

A laboratory is a laboratory in which researchers are working in group settings to test hypotheses and to explore new ideas. Laboratories are typically large buildings used to accommodate many experiments and a large room for the experiments to be performed. The size and scope of every laboratory is dependent on the project. For more information about lab size and scope, see: What is the size of a laboratory?

How much do labs cost?

How much does a university lab cost? How much does a research and training institute cost?

What are the benefits of using grants?

For faculty research, funding is also used to fund equipment, equipment rental, staff salaries and a faculty research budget. More information about research and staff salary can be found on our Grants website for Faculty Members, for research and training institute staffs, and for the other departments that use funding from federal agencies like NSF. A few examples of the benefits of being able to fund a research and training institute staff with federal funds are given below:

Research and development

Employment of the research and training institute staff is in line with the goals of the project. Federal funds can help fund the salaries of research and training institute staff and other equipment necessary to operate the lab. The funding from federal grants does not have to be used for this purpose. For example, the National Institute on Drug Abuse also uses some funds for operating expenses of its drug testing facilities.

In addition to funding staff salaries, a few grants also allow a university lab to borrow equipment from other institutions in order to supplement its own lab equipment. For example, some NSF projects fund the use of research equipment purchased from non-NSF institutions.

How would a lab use grants?

A lab uses grant money to buy equipment, hire new people, hire people to do research in a new area, and continue developing that research.

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The most common use of a grant money for equipment is to expand an existing laboratory. A new lab can be built in a way that permits equipment to be removed and transferred to a new laboratory. Some labs use grant money to buy new equipment or hire staff to do basic research.

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