Are you a hemp business founder or CXO looking for climate grants that can finance your environment-friendly innovations? Then you are at the right place. These are five climate grants hemp businesses cannot miss.
We will give you the details of 5 climate grants from across the globe. These are suitable for hemp-based SMEs and start-ups across Asia and the US.
All you need is a business plan that confirms your hemp-based product or process can address climate change.
As of 2025, several funding options are available for hemp businesses across multiple nations seeking financial support for new projects. So which hemp business grants should you pick?
Here are 5 of the best climate grant hemp businesses cannot miss and their details.
Five climate grants hemp businesses should check out
1. Green Climate Fund (GCF) for Hemp Businesses in the Private Sector Facility
The Green Climate Fund (GCF) has a Private Sector Facility (PSF) that can provide the capital you need to start your own clean energy project. Whether you want to design B2C hemp products or scale at a B2B level, the Green Climate Fund can boost your hemp ventures to new leagues.
The Green Climate Fund Private Sector Facility helps SMEs reduce financial risks. It uses multiple funding tools to support the new hemp ventures. This grant is perfect for any hemp business pitching eco-friendly products and processes.
- Eligibility: PSF is best suited for already established brands. These may include small and medium businesses looking to start hemp-based ventures. The project proposal MUST demonstrate a significant positive impact on climate change. It should also include yearly projections.
- Application Process: The hemp businesses should seek an accredited agency recognized by the GCF and submit a complete funding proposal. The accredited agency can be private, public, NGO, sub-national, national, international or regional. These agencies have the responsibility of helping in the development of the hemp business funding proposals. They can ensure that these proposals align with the strategic objectives of GCF.
- Grant Money: All GCF-funded projects are categorized into micro (up to $10 million), small ($10 million to $50 million), medium ($50 million to $250 million) and large (more than $250 million).
The GCF is the world’s largest multilateral funding body with a total project portfolio of around $40 billion (as of 2023). Out of all projects, 21% by number and 42% by funding are private sector projects. The GCF specializes in mobilizing funds for businesses based out of third-world countries. This climate grant for hemp businesses is lucrative and quite easy to apply for.
2. U.S. Department of Energy’s Justice40 Initiative for Hemp Business Funding
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In 2021, Tackling the Climate Crisis at Home and Abroad brought forth the Justice40 initiative or Justice 40. The Justice40 Initiative has one goal – 40% of the benefits of federal investment in climate and clean energy should go to disadvantaged communities.
The categories covered by Justice40 include clean transit, training and workforce development, reduction and remediation of legacy pollution and so on. Any hemp-based product or process that can reduce carbon emissions may apply for the Justice40 fund.
- Eligibility Criteria: The Justice40 initiative is for small businesses and start-ups in their early stages. Businesses located in disadvantaged communities within the US and US territories are eligible for this initiative. It’s ideal for hemp businesses as long as they concentrate their resources on hemp-based products.
- Application Process: All applicants should apply through the official channels of the Department of Energy. The Climate and Economic Justice Screening Tool (CEJST) identifies the disadvantaged communities. The Funding Opportunity Announcements are typically the source of exact requirements for the proposals.
- Grant Money: Accepted proposals will benefit from tax incentives and personalized funding opportunities. This a climate grant hemp businesses based out disadvantaged communities can easily access.
The J40 allows new businesses to connect with bigger companies, government agencies and communities. It is suitable for hemp businesses seeking funding in the USA. Most importantly, projects powered by Justice40 have the power to create long-term environmental, economic and social benefits.
3. SME Climate Hub Financial Support for Hemp Businesses
The SME Climate Hub is a global non-profit initiative. It allows small and medium-sized businesses to seek climate finances from several sources. These sources include banks, grants and other government support, customers (buyers) and investors.
It is meant for SMEs looking towards making a positive change in the environment with their products or processes. Although it is not exclusively designed for hemp businesses, it is the perfect funding for all hemp businesses that promise an answer to climate change.
- Eligibility Criteria: The SME Climate Hub has been operational since 2020. It is exclusively designed for SMEs in the early stages of their financial journey. You can apply for funding when your hemp business is at its seed or growth phase.
- Application Process: Businesses can easily register on the SME Climate Hub. Once registered, they will receive complete documentation. Registered businesses can get guidance on with whom to speak, how to prepare the proposal and sample conversations before the final call.
- Grant Money: Participants gain access to a network of resources, including climate grants for hemp businesses, technical assistance and tools for measuring emissions. The specific monetary amounts usually vary based on individual project assessments.
SME Climate Hub also boasts a short course. It enables the applicants to choose the available financial opportunities according to their unique needs. Over the past 4 years, SME Climate Hub has provided funding for multiple hemp businesses.
4. California Sustainable Energy Entrepreneur Development (CalSEED) Program
CalSEED is one of the many California Energy Commission EPIC programs that aim to advance energy innovation. It funds green start-ups and small businesses in their early stages.
Thanks to California’s pro-hemp views and laws, hemp-based startups can benefit from participating in the CalSEED grant program. Their proposal should have plans to manufacture products or tech to deliver cleaner energy and high efficiency. Hemp business funding has been made accessible by the CalSEED initiative.
- Eligibility Criteria: This program is ideal for early-stage startups innovating within the clean energy sector. The businesses include those developing hemp-based energy solutions. However, one must have a California address to qualify for the CalSEED Program.
- Application Process: Applicants must participate in the annual application cycle. Applications for CalSEED 2025 are closed. It will reopen in 2026. Business owners or founders need to attend the information sessions. Next, they must submit a detailed proposal outlining their innovative energy project. The finalists must present their ideas before a panel of stakeholders to showcase the potential impact of their innovations.
- Grant Money: Awardees receive seed funding and business development resources from CalSEED. The prize money can range between $200,000 for the Concept Award and $500,000 for the Prototype Award.
The initiative helps start-ups financially and it provides the founders with mentorship opportunities. Winners also get expert guidance, legal aid, tech refinement training and commercialization of their products/processes.
5. Asia-Pacific Economic Cooperation (APEC) Energy Efficiency and Conservation Projects
APEC focuses on energy efficiency and conservation across its member economies through targeted funding initiatives. APEC directly doesn’t fund hemp businesses. However, if your endeavour promises energy-efficient buildings, appliances and/or industrial processes across the APEC member countries you can effortlessly apply for the funding.
- Eligibility Criteria: A hemp business at any stage can be eligible for the APEC General Project Account (GPC) fund. These businesses may include new hemp-based products and processes. They should promote sustainability within the APEC member (Asia-Pacific) countries.
- Application Process: Businesses must submit a project proposal to the APEC Expert Group on Energy Efficiency and Conservation (EGEE&C). These projects should emphasize energy conservation practices, products and tech.
- Grant Money: Grants for hemp businesses come with opportunities for regional and international collaborations. Along with that, businesses also receive visibility within the Asia-Pacific market. The fund amount depends on the project since the funds can come from APEC funding mechanisms or self-funded via support from private sector partners.
APEC GPA has funded over 1600 projects since 2006. Hemp products align with sustainability and decarbonization calls. New hemp businesses can reach their target consumer through the APEC member network.
All five grants mentioned above provide stellar opportunities for a wide variety of hemp-based startups and SMEs. These hemp business grants promise financial support, visibility and market. Businesses need to stay updated on the deadlines and announcements since the eligibility criteria and application process are usually updated every few years.