Top 3 Mistakes Broadband Providers Make on Their BEAD Applications

Winning funding from the Broadband Equity, Access, and Deployment (BEAD) program could be a game-changer for broadband providers —but getting it right is no small feat. With billions of dollars at stake and fierce competition, even small mistakes can derail a promising application. Here are the top three mistakes applicants make —and how to avoid them.

1. Underestimating the Scope and Depth of BEAD Data Requirements
   
   A major challenge in the BEAD process is understanding the extensive data and materials required. Unlike previous grants, BEAD demands a deeper dive into infrastructure, community needs, and project viability. Many applicants struggle with aligning policies to BEAD requirements or realizing too late that they lack critical data, such as conformance to labor laws, employee safety training, cybersecurity or supply chain processes, and process for environmental protection assessments for equipment. 
    
   To succeed, companies must review BEAD guidelines, identify data gaps early, and allocate resources to gather the necessary information. Proactively engaging consultants or data experts can make a significant difference.
    

2. Assuming Universal Scoring Standards Across States
   
   Another common misstep is assuming scoring criteria are consistent from state to state. BEAD is a competitive grant program, and each state has its own scoring framework based on localized priorities and goals. Although utilizing industry contacts is a smart practice, be cautious in basing any expectations or decisions on advice from contacts in other states, as you may risk misaligning with your own state’s criteria.
   
   To avoid this, research your state’s scoring framework and understand how your project ranks. Tailor applications to highlight elements that align with state priorities, such as workforce development, community engagement, or speed to deployment. Building relationships with state program administrators can provide valuable insights.
   
   
   
3. Misjudging Financial Capacity for Performance Bonds or Letters of Credit
   
   Securing a performance bond or letter of credit (LOC) is another hurdle where applicants frequently falter. Many mistakenly assume that obtaining a performance bond is straightforward or that it requires less financial scrutiny than an LOC. However, insurance companies issuing performance bonds still conduct a rigorous financial review of your company’s forecast and financial strength.
   
   In some cases, applicants realize too late that the bond amount approved by the insurer is insufficient to cover their project, forcing them to scale back their plans drastically. To avoid this, broadband providers must have an honest conversation with their financial advisors and insurance providers early in the process. Understand your financial capacity and align your project scope accordingly. While performance bonds may be more cost-effective, they still require robust financial documentation and planning.

Securing BEAD funding is no easy task, but the rewards are transformative for broadband providers and the communities they serve. By avoiding these common pitfalls of underestimating data requirements, misjudging state-specific criteria, and failing to assess financial capacity, you can turn your application into a competitive, winning proposal. Approach the process with strategy, preparation, and a clear understanding of the rules, and you’ll be well on your way to bringing high-speed internet to those who need it most. The future of broadband starts with getting BEAD right, don’t let avoidable mistakes hold you back.
 

Are you ready to embrace BEAD and lead your community to a new era of opportunity? Register for our January 28th webinar BEAD Winners Don’t Just Build a Network. They Protect Their Communities From Online Threats—and More.