The Compass Grant helps Delaware small businesses navigate international business development through grant funding to support marketing and sales activity around the world.
Delaware small businesses may apply for a Compass Grant to support international travel or business development activities. This grant offers greater flexibility than previous programs. Compass Grant funds may be used to reimburse up to 50 percent of all pre-approved, eligible, international marketing expenses, up to a maximum of $10,000 per fiscal year, per company.
Are you wondering how to connect with new customers around the world?
Do you feel you’ve exhausted your pipeline of clients domestically?
Would you plan to exhibit at an upcoming international trade show?
If this sounds like your business, the Compass Grant is for you.
It’s more expensive to travel now than ever before. It can also be very challenging to connect with new customers around the world. That’s why the Delaware Department of State created the Compass Grant, to help Delaware small businesses navigate international business development.
Companies that sell internationally (export) are more profitable, grow faster, and are more resilient to economic fluctuations. They also create local jobs!
You don’t have to be a huge company to sell internationally. According to the SBA, some of the most successful exporters are innovative small- and medium-sized businesses (which account for 98 percent of U.S. exporters).
Here are some examples of how you can use Compass Grant funds:
- Booth fees for exhibiting at a tradeshow overseas
- Travel expenses (hotel and airfare) for visiting potential clients or distributors in another country
- Fees to work with the US Commercial Service on International Partner Search
- Fees associated with obtaining your CE Mark
- Expenses for translating your product manual into another language
- Expenses for optimizing and localizing your website for a foreign market
In addition to these activities, Delaware Small Businesses may participate in Export Delaware’s Business Trips. These trips are an excellent opportunity to meet face-to-face with distributors and potential customers – all with the assistance of seasoned global trade experts. Travel expenses on these trips are eligible for reimbursement through the Compass Grant. Click here to learn more.
Note, to be eligible to receive a Compass Grant, your business must have a physical operation and employees in Delaware and meet additional requirements listed below.
How it Works
Apply for a Compass Grant if you seek financial assistance expanding into new international markets.
- Apply: Apply by completing an online Compass Grant Application. List the amount of funds you are requesting on your application. Note the maximum grant award amount you may be eligible for is $10,000.
- Award: If your business meets the Compass Grant requirements, and there are funds available, you will be awarded a grant to move forward on the project. All grant applications must be pre-approved by Export Delaware, so be sure not to incur any expenses before you receive your final award letter from our office or we will be unable to provide reimbursement.
- Project Execution and Payment: Go about your international business and keep a good record and receipts of your expenses along the way. Note what expenses are allowable and unallowable per the Compass Grant Guidelines below.
- Reimbursement: Once the project/trip is complete, you can submit your reimbursement request to Export Delaware per the Compass Grant guidelines. You will be reimbursed 50% of the costs associated with your project, as long as they meet the requirements. For example, if the project costs $10,000, you may submit a reimbursement request for $5,000 (50% of the cost).
Does My Business Qualify?
The Compass Grant is for export-ready Delaware small businesses. Please note the Compass Grant is NOT for startups.
Your business must meet the following requirements to qualify for Compass Grant funds:
- Business must have operations in Delaware. Those companies incorporated in Delaware without operations here are not eligible for Delaware grant funding.
- Applicant must be a U.S. citizen.
- Product must be made in the USA – there is a 51% U.S. content requirement.
- Companies must meet SBA size standards for eligibility, which vary by NAICS code and type of business. Please verify before completing the application.
- Company must be in business for no less than one year to qualify for grant funding.
- Company must have demonstrated an understanding of the costs associated with exporting and doing business with foreign producers, including costs of freight forwarding, customs brokers, packing and shipping.
- Company must have a strategic export plan in effect.
- Accounting, Legal, and Technical Service Firms may be eligible, provided they have international clientele and can prove the intent to expand their business of exporting professional services.
Take the export readiness assessment to learn if your business is ready to grow internationally.
Compass Grant Awards from the State of Delaware are awarded on a competitive basis. At the Delaware Department of State (Export Delaware), diversity, equity, and inclusion are woven into everything we do. We aim to help Delaware small businesses of all types and backgrounds succeed and thrive, and we believe that promoting diversity, equity, and inclusion is essential to achieving that goal. We are committed to providing equal opportunities for all constituents.
Compass Grant Allowable Expenses
Click each item category below to find out which expenses are allowable (and unallowable). If you have questions about whether an expense is eligible, please get in touch with Export Delaware before incurring any expenses.
Travel expenses can only be reimbursed for ONE traveler per company. An exception may be made if the second traveler is a technical person who is needed to facilitate sales.
Allowable Expenses:
- Coach airfare* – Please see below for new regulations for premium economy or business class travel
- Ground transportation fees
- Baggage fees
- Parking fees at the US airport of departure
- Lodging – Up to 150% of the maximum lodging rate of the federal per diem for each city of travel.
- Fees for shipping sample products
- Language interpretation services on your trip
Unallowable Expenses:
- Travel expenses for more than one company representative
- Expenses related to entertainment of current or prospective clients or government officials
- Passport and visa fees
- Immunizations
- International cell phone charges
- Printing of marketing materials
- Meals while traveling
- Seat assignment fees/upgrades
- Flight change fees
Flight Policy
*If you elect to fly an upgraded flight class, such as premium economy or business class, your ticket may be eligible for reimbursement if it meets the following criteria: the flight destination must be outside of North America and Europe and must be pre-approved by Export Delaware. If approved, Delaware will reimburse you up to 50% of the upgraded ticket upon receipt of compliant documentation.
Please note, if you wish to fly an upgraded class of travel and you do not meet the above state criteria required, you may provide Export Delaware with the following documentation for reimbursement.
- FLIGHT ITINERARY, AND COST FOR THE COACH FARE ON THE SAME DATE YOU PURCHASED YOUR UPGRADED FLIGHTS. THESE MUST BE FOR THE SAME FLIGHTS ACTUALLY FLOWN. YOU MUST ALSO PROVIDE THE ITINERARY, COST, AMOUNT PAID, AND PROOF OF PAYMENT FOR YOUR UPGRADED CLASS OF TRAVEL. NO EXCEPTIONS WILL BE MADE. THE DELAWARE DEPARTMENT OF STATE REIMBURSES UP TO 50% OF THE ELIGIBLE COACH CLASS FARE.
International trade shows where your business is exhibiting or have one-on-one business meetings with prospects at the show.
Allowable Expenses:
- Registration fees for an in-person trade show booth
- Exhibition booth fees for technical conferences and symposiums (with approval from Export Delaware)
- Raw booth space
- Design costs of the booth – this may include or is limited to signage, furniture costs, graphics
- Trade show catalog listing fees
- Trade show advertising fees
- Coach airfare* – Please see below for new regulations for premium economy or business class travel
- Lodging – Up to 150% of the maximum lodging rate of the federal per diem for each city of travel.
- Transportation costs for one traveler per company (airfare, ground transportation, parking, taxis, Ubers, mileage, tolls, and other associated and allowable travel expenses)
- Fees for shipping sample products
- Baggage fees
- Design of marketing material fees to bring to show
Unallowable Expenses:
- Expenses related to entertainment of current or prospective clients or government officials
- Meals while traveling
- Passport and visa fees
- Immunizations
- International cell phone charges
- Printing of marketing materials
- Seat assignment fees/upgrades
- Flight change fees
Flight Policy
*If you elect to fly an upgraded flight class, such as premium economy or business class, your ticket may be eligible for reimbursement if it meets the following criteria: the flight destination must be outside of North America and Europe and must be pre-approved by Export Delaware. If approved, Delaware will reimburse you up to 50% of the upgraded ticket upon receipt of compliant documentation.
Please note, if you wish to fly an upgraded class of travel and you do not meet the above state criteria required, you may provide Export Delaware with the following documentation for reimbursement.
- FLIGHT ITINERARY, AND COST FOR THE COACH FARE ON THE SAME DATE YOU PURCHASED YOUR UPGRADED FLIGHTS. THESE MUST BE FOR THE SAME FLIGHTS ACTUALLY FLOWN. YOU MUST ALSO PROVIDE THE ITINERARY, COST, AMOUNT PAID, AND PROOF OF PAYMENT FOR YOUR UPGRADED CLASS OF TRAVEL. NO EXCEPTIONS WILL BE MADE. THE DELAWARE DEPARTMENT OF STATE REIMBURSES UP TO 50% OF THE ELIGIBLE COACH CLASS FARE.
Allowable Costs:
- Export training registration fees
- Export training materials
- Travel expenses to/from training(s)
- Development of training materials related to exporting
- Venue fees to host a training
- A/V fees for the training
- Speaker fees
- Export certification or training workshops offered by SBA resource partners, such as, Small Business Development Centers (SBDCs), Women Business Centers (WBCs), and SCORE
- U.S. Commercial Service trainings that assist companies going to market and with executing strategic export plans
- ExporTech program – jointly offered by the NIST Manufacturing Extension Partnership and federal/state export partners
- New to Export SIDO ESBC Training
- Export compliance training from the Bureau of Industry and Security (BIS), Dept. of Commerce, Defense Directorate of Trade Controls (BIS), U.S. State Dept., and U.S. Census Bureau, Dept. of Commerce
- State and local training programs by private-sector consultants including compliance, logistics, financing, and international marketing
Unallowable Expenses:
- Food and beverage costs at the training
- Costs for printing training material
For costs associated with optimizing a website or webpage for a specific international audience.
Allowable Expenses:
- Develop localized web pages for specific international markets
- Translate pages of one’s website for specific markets
- Conduct a search engine optimization (SEO) project for one’s website in a specific market
- Create a mobile app integration, creation, and updates to support ESBC in selling their product(s) in a specific market
- Develop a webstore setup and/or maintenance costs
- Set up to receive and/or process online payments and orders
- Create a platform to sell online using, but not limited to: Amazon Services, Walmart Marketplace, Alibaba Inc., FlipKart, and Rakuten
- Develop cybersecurity protection to support exports
Unallowable Expenses:
- Design of a company’s website
Allowable Expenses:
- Customized Market Research
- Initial Market Check
- International Company Profile
- International Partner Search
- International Partner Search + Virtual Introductions
- Gold Key Service (GKS)
- Hosting a trade event
- Participate in/attend a certified trade mission
- Participate in/attend a Dept. of Commerce seminar or webinar
- Website globalization support
Unallowable Expenses:
- Please note, fees related to U.S. Commercial Service Tradewinds exhibition fees and travel are not eligible under the Compass Grant. Certain B2B meeting portions may be eligible pending approval from the Delaware Department of State. Contact Export Delaware for more details if seeking inclusion of Tradewinds on your grant application.
Consultant fees for international compliance testing for a foreign market.
Must be pre-approved by Export Delaware.
Fees associated with designing, creating, and producing marketing materials for a specific international market.
Allowable Expenses:
- Design of marketing brochures for specific international markets
- Design of social media platforms for specific international markets
- Design of websites for a specific international market
- Design of billboards for a specific international market
- Design of newspaper ads with an international focus
- Design of advertisements in international magazines
- Design of posters for a specific international market
- Design of product labeling for a specific international market
- Translation of items above
- Other media may be approved in advance by Export Delaware as consistent with its definition of marketing media
Unallowable Expenses:
- Printing costs for any of the above activities
Export credit insurance premiums.
Allowable Expenses:
- Fees incurred for export credit insurance policy (including EXIM Bank fees and private sector providers)
- Monthly “pay-as-you-go” fees from EXIM Bank
- Initial annual premium from private providers
- Foreign buyer credit reports
Testimonials
“Funds were provided to visit our two distributors in China and have meetings at key accounts. This account will help generate a large percentage of sales over the next several years.”
– Stephanie Rosenberg, Advanced Materials Tech
“This program helps us meet existing, and develop new, distribution channels, for our products. The two largest, medical trade shows in the world were part of our itineraries. This provided a great opportunity to gain market intelligence. The grant, and all the other excellent support we receive from Export Delaware, has been an invaluable aid to our expansion overseas.”
– Andy Wood, LiteCure
“Export Delaware are very helpful to small businesses who want to export. They have a great team, who are ready to help.”
– Naresh Batta, Batta Environmental
“The folks at Export Delaware have been very helpful with our efforts to reach prospects outside of the US by taking away the fear of the unknown.”
– Jeff Palmer, OASIS Inspection Systems
Additional Funding For Export Activities
Additional capital resources are available from the federal government and other organizations for export activities. Options range from tax credits to low interest loans, and other financing plans. Search here to find the right option for your business.
- Name of Incentive: Export Express Loan Program
- Issuing Organization: SBA
- Details: Simplest loans offered by the SBA, granted to support export activity. Loan approval in 36 hours or less.
- Connect: website
- Name of Incentive: Export Working Capital Program
- Issuing Organization: SBA
- Details: Loans to fund export transactions from purchase order to collections, with a low guaranty fee and quick processing time.
- Connect: website
- Name of Incentive: International Trade Loan Program
- Issuing Organization: SBA
- Details: Loans available to small businesses in a position to expand existing export markets or develop new export markets, or that have been adversely affected by import competition and can demonstrate that the loan proceeds will improve their competitive position.
- Connect: website
