What are the Business Builder Awards and How Can I Apply?
As we talk about what is needed to strengthen the Arizona local food system - from getting local produce into schools and hospitals to helping chefs source from Arizona growers and ranchers to ensuring Arizonans in every corner of the state have access to fresh, nutritious and culturally appropriate foods that are produced here - the missing piece always seems to be middle-of-the-supply chain infrastructure.
The manpower and funding required to localize the middle of the supply chain is significant, but the transformative power it could have on the entire local food system – and all Arizonans – is immense.
Not to mention that it’s what happens in the middle of the supply chain – when produce and animal products are washed, processed, packed, aggregated and distributed – that is responsible for 30-40% of the economic value of food. Imagine the impact of keeping those dollars local! Plus, shortening the food supply chain means that food lands on your plate with more flavor and greater nutritional value, while also reducing waste.
Luckily, this is exactly where the Business Builder Awards strives to make an impact; they are an opportunity to fund such infrastructure projects that are opening in 2025 and will offer four funding cycles.
Business Builder Award Program
The Southwest Regional Food Business Center is excited to announce the Business Builder Award Program is launching in Arizona on January 6th, 2025.
The Center’s Business Builder Award Program will support supply chain resiliency by building the capacity of small and mid-sized food producers, food businesses or networks of businesses. These awards are here to help local and regional food businesses grow by giving them the funds they need to tap into new markets, expand their reach and strengthen connections within local and regional supply chains.
The Business Builder Award Program focus will be on bolstering local food supply chains that will prioritize aggregation, processing and distribution of locally-produced food designed to feed local people. Our goal is to support small and mid-sized growers in increasing their food processing capacity and expanding market opportunities by introducing infrastructural opportunities and value-added products that can be sold locally.
In short, by focusing on such projects, we strive to impact as many Arizonans and Arizona food businesses as possible.
So, what does this look like in practice? It can be a few different things: infrastructure projects that expand access to markets; increasing food processing capacity; developing food supply chains; and expanding regional cooperatives and aggregation.
Examples of eligible projects include:
Business planning, feasibility studies, market analysis
Brand development and marketing materials
Product developing, labeling, and packaging
Food safety compliance, training, and planning
Value-chain coordination, salaries, operating costs, and equipment/vehicles
Improving processing, marketing, and distribution services
Cold storage, both for individuals and for central shared storage (warehouse)
Refrigerated transportation
Aggregation centers for product (physical or online platform)
Equipment in processing centers for meat, poultry, canning
Ineligible Applicants or Uses
Applicants who have received Business Builder funding from SWRFBC or any other Regional Food Business Center in excess of $100,000
Applicants who have received funding (Business Builder awards, governmental or non-profit grants, loans, etc.) for the same or similar expenses.
Costs associated with agricultural production inputs. All expenses must provide direct support to increase business access to local and regional markets. On-farm investments for post-harvest activities may be allowable.
Construction projects
There will be 2-3 competitive awards offered per year, with an award range of $75,000.00 - $100,000.00.
If not selected for a Business Builder award through USDA, there are additional opportunities to be considered for other funding by Local First Arizona (especially for projects under $60,000.00).
The first round of funding will open on January 6, 2025, and applications will be due on February 15.
Awards for the first cycle will be announced on May 1, 2025. Projects cannot exceed 18 months.
A second cycle in 2025 will open June 1 and close on July 15. Two more cycles will follow in 2026.
Who Can Apply?
To qualify, you need to be a small- to mid-sized, established business that falls into one of these categories:
Agricultural producers, ranchers and value-added producers
Aggregators, distributors, processors and food hubs
Cooperatives and non-profit organizations
Retailers and farmers markets
You must be an established business located in and primarily serving Arizona. There is an emphasis on organizations that live in or serve communities in distressed zip code or that are socially vulnerable.
You are welcome to apply in conjunction with multiple businesses working together on the same project.
What qualifies as a small to mid-sized business? A small business has gross annual sales less then $350,000, and a mid-sized business has gross annual sales greater than $350,000 but less than $1 million.
How Can I Apply?
Please apply, starting January 6, 2025, on our Business Builder Awards page. You can find the application at the bottom of the page.
Your business will need to have a Unique Entity Identifier (UEI) number from SAM.gov. Watch a video here to learn how to get one. Note that it may take up to two weeks for processing.
You can begin preparing by taking a look at the application here.
Additionally, you will need to submit a project budget and work plan and timeline. You can also utilize the template for work plan and timeline and the template for budget.
Read more about how to apply at FAQs on the Center’s website here.
Want to Learn More?
We will be hosting informational webinars on January 8, 10 a.m. - 11 a.m. and January 14, 4 p.m. - 5 p.m. On the linked event pages, you will find the Zoom link.
Want to ask a question or get more information? Reach out to Taylor La Ravia at taylor@localfirstaz.com.
The Southwest Regional Food Business Center is an initiative of the USDA and does not discriminate.
In Arizona, the Center is a collaboration between Local First Arizona, the Arizona Department of Agriculture and the University of Arizona Cooperative Extension.