State Trade Expansion Program (STEP Grant Tennessee) is sponsored by U.S. Small Business Administration (SBA) / Tennessee Export Initiative (TEI) at Belmont University. The STEP Grant program provides federal funds to assist Tennessee small businesses with exporting their products and services.

State Trade Expansion Program (STEP Grant Tennessee) | Belmont University The State Trade Expansion Program (STEP) is a national export initiative which makes matching-fund awards to state entities to assist small businesses in entering and expanding into international markets. In Tennessee, STEP is administered by the Tennessee Export Initiative (TEI) at Belmont University.

This grant program is funded in part by the Small Business Administration (SBA) and through the efforts of the Tennessee District Export Council (TDEC), a non-profit organization of international business executives that supports and promotes export opportunities for Tennessee companies and serves as a communication link between the business community and the U.S. Commercial Service. The Thomas W.

Beasley Center for Free Enterprise in the Jack C. Massey College of Business at Belmont University provides support for the Tennessee Export Initiative (TEI). Exports play a vital role in driving Tennessee's economic growth while expanding market opportunities for businesses across the state.

Companies may use STEP Grant funds for the following eligible activities. Activities have different funding limits. Awards are dependent on availability of funds.

The program offers a 75% reimbursement rate on eligible expenses, with a maximum benefit per company of $7,000.

U.S. Commercial Service Subscription Services International Website Fees International Marketing Media Design International Trade Show Exhibition To be eligible for STEP funding, Tennessee small businesses must meet the following criteria: Export-ready, for-profit business Organized or incorporated in the U.S. Registered to do business in the State of Tennessee and in good business standing with regulatory agencies Operating in the State of Tennessee Exporting goods or services of U.S. origin or that have at least 51% U.S. content .

In business for at least one year at the time that the funded activity takes place. A written export plan with clear and achievable export objectives. Have sufficient resources to bear the costs associated with international trade, including the costs of packing, shipping, freight forwarding, and customs brokers.

Meet SBA small business size standards (which vary by NAICS code based on either annual receipts or number of employees) The applicable industry-based small business size standard established under section 3 of the Small Business Act; or The alternate size standard applicable to the program under section 7(a) of the Small Business Act and the loan programs under title V of the Small Business Investment Act of 1958 (15 U.S.C.

695 et seq.) ; c. The U.S. Small Business Administration (SBA) size standards are found at 13 C.

F. R. Part 121.

Use the following sba. gov link for information on size standards for your business ( https://www. sba.

gov/size-standards/index. html ) Note: No more than one company with the same owner (either individual or company) may be STEP recipient within the same grant year. Who can apply for a STEP grant?

add Any qualifying export-ready small business headquartered Tennessee can apply. A qualifying business must meet the SBA definition of a small business, be registered to do business in the state of Tennessee, have been in business for no less than one year, be operating profitably, have at least 51% U.S. content in their product or service, and have not been debarred from doing business with the federal government.

The small business must also have a written strategic export marketing plan. Who may not apply for a STEP grant? add Ineligible small businesses are those that do not have a product or service to export, are acting as intermediaries for other companies and/or are recruiting foreign investment.

Companies that are already receiving federal funding from another institution for a particular event are also excluded from receiving additional funding through STEP. Is my business export ready? add An export-ready business is one that has the capacity, resources and management to deliver a marketable service on a global scale at a competitive price.

Such a business must have: A written export plan with clear and achievable export objectives. Clearly identified and researched international target markets. A demonstrated understanding of its value proposition and competitive environment in targeted export markets.

A realistic idea of what exporting entails and a timetable for results. Adequate management and staff expertise with an understanding of what is required to succeed in the international marketplace. An understanding of international marketing requirements, including required adaptations along with cultural and language needs.

A market entry strategy specifying how and to whom to sell to in the export markets. An understanding of destination country regulations, export and import documentation, customs requirements and procedures. Completion of the Export Readiness Assessment .

This assessment involves answering questions to determine a final score. This score is then used to help guide businesses through the necessary steps to become fully export ready. Does completing the Readiness Questionnaire and the STEP Application guarantee my company’s reimbursement?

add No, the approval of a company’s STEP Application does not guarantee reimbursement. Companies must be approved into the program and fulfill all requirements in order to receive reimbursement. Among these requirements is the submission of a STEP Reimbursement Request and the Results Form after each approved activity, and adherence to the Fly America Act (when applicable).

Companies who are found to not be in good standing with SBA will also be disqualified from reimbursement. When should I submit an application? add Applications should be submitted in advance of undertaking any planned eligible expense for which you would like to seek reimbursement.

What expenses are eligible for reimbursement?

add The STEP Tennessee Program can reimburse for the following eligible expenses: International trade show registration/exhibit booth fees Development of marketing media targeting foreign buyers Website translation into a foreign language, search engine optimization, and localization services U.S. Department of Commerce fee services U.S. Commercial Service subscription services, including: Gold Key Services provides pre-screened appointments with potential overseas agents, distributors, sales representatives, business partners and other local in-country entities Matchmaking Services includes an International Partner Search and/or International Partner Search with Virtual Introductions Single Company Promotion promotes your company in a specific market and may consist of targeted direct mail or email campaigns Market intelligence includes Customized Market Research What expenses are NOT eligible for reimbursement from STEP Tennessee?

add Expenses related to entertaining current or prospective clients or government officials Video, television and radio production Efforts to create or augment marketing and advertising campaigns to draw international visitors to the State Cost for printing marketing materials Cost for development and/or design of a website for a company Cost for enhancement and/or development of an existing company’s product incidental expenses associated with individual’s attendance at meetings, conferences and symposiums What is involved in the selection process?

add It typically takes us two to three weeks to review applications. A panel reviews all applications. Companies that win the grant will receive a detailed commitment letter listing the approved export development project or activities, timing, and breakout of approved expenses in U.S. dollars.

Even if your company qualifies for the grant, we may award less funding than you request based on the strength of applications and the number of applicants. How is the award distributed? add You will submit for reimbursement once you complete the approved expenses.

If expenses are not submitted in 30 days, you may not receive funds.

Reimbursement will be paid in full unless the company does not: fulfill its obligations for participating in the program submit required receipts and summaries Funded in part through a Grant with the U.S. Small Business Administration Federal Funding Disclosure for Tennessee State Trade Expansion Program In accordance with Section 632 of Public Law 117-328 Federal Share: 75% – $100,000 Non-Federal Share: 25% – $33,333 Total Program Cost: $133,333