State Trade Expansion Program (STEP Grant Tennessee)

What is STEP?

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 which 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 main objectives of STEP is to increase the number of U.S. small businesses that export, increase the value of exports, and increase the number of U.S. small businesses exploring significant new trade opportunities.

Allowable Expenses

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

$4,000

U.S. Commercial Service Subscription Services

$5,000

International Website Fees

$5,000

International Marketing Media Design

$7,000

International Trade Show Exhibition

Who is eligible?

To be eligible for STEP funding, Tennessee small businesses must meet the following criteria:

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.
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)
1. The applicable industry-based small business size standard established under section 3 of the Small Business Act; or
2. 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.
3. Use the following sba.gov link for information on size standards for your business (https://www.sba.gov/size-standards/index.html)