There are a number of grantees using temporary grants to launch their own businesses. Which is, ideally, what it should be used for. nostr:npub1s3ht77dq4zqnya8vjun5jp3p44pr794ru36d0ltxu65chljw8xjqd975wz is paying everything out of pocket and that can be painful, especially if you are not part of a larger team that can share costs.
But the problem now arises through the sheer number of grants creating expectations that everyone has one, although not everyone does. It's destroying appreciation for the value of labor, which will make it increasingly difficult for grantees to wean themselves off the money, as potential customers will be upset that their free stuff is no longer free.