Secure Funding for Your MBA

funding for your MBA

Once the initial elation of admission to your dream B-school subsides, it’s time to focus on the less fun yet critical task of sorting out the funding for your MBA degree. Besides budgeting for the obvious, like tuition and housing, you’ll need money for other things, too.

As SBC consultant Erika advises on this episode of the B-Schooled podcast, you’ll also want to take advantage of the unique opportunities that arise—things like international trips and industry treks. “There are tons of social activities during the two years you’ll spend earning your MBA, and that make it such a great bonding experience with your classmates,” Erika says.

Considering all that, you may wonder how you can finance your education without getting saddled with enormous debt. With rising tuition costs and limited funds available, it’s critical to become well-informed about all possible funding sources for business schools. In this comprehensive guide, we’re exploring various avenues, such as scholarships and company sponsorships, that can help ease the burden of financing your MBA degree.

You’ll learn how to decode admissions letters for potential financial aid offers and strategies for negotiating extra merit-based funding. We’ll also emphasize the importance of completing the FAFSA accurately to maximize your chances of securing federal loans. Finally, we’ll provide insights on evaluating loan options wisely, focusing on international students’ needs.

Don’t let limited funds hold you back from applying to business school. You can afford to attend a top MBA program through scholarship funding, company sponsorship, and/or loan options.

The process of finding, applying for, and sorting out MBA financial aid opportunities can be tedious and confusing. If you have already received admission to your dream MBA program and would like help with applying for financial aid as a US or international candidate, we are here to help with SBC’s Financial Aid Advisory service. Please email info@stacyblackman.com to learn more.

MBA Scholarships and Company Sponsorship

Worthy applicants often get scared off of applying to a top school, fearing the expense will be too great to bear. This is one of the most pervasive MBA admissions myths out there. But the good news is there are several options available to help you pay for your MBA.

Many top schools will also work with applicants to ensure cost is not a barrier to attending. For example, Harvard Business School is committed to boosting needs-based financial support for students. Roughly ten percent of students qualify for full-tuition scholarships.

Scholarship awards for our clients have risen by 10% each year over the past few years. About 20-25% of SBC clients receive scholarships ranging between $10,000 to full-ride offers valued at $200,000.

funding for your MBA

Besides scholarships and fellowships offered by the schools, several external opportunities are available, including merit-based scholarships and fellowships. A few well-known examples include:

Another option to consider as funding for your MBA is company sponsorship. Many employers understand the worth of investing in their personnel’s professional growth. So, they might offer partial or full financial help for those seeking higher education. See if your employer has any programs that cover tuition costs or provide other educational benefits.

Decoding Your Admissions Letter

When you receive an admissions letter from a business school, read it carefully. It might contain crucial information about financial aid or merit-based awards. “Every round, I get emails from applicants who stop reading their admissions letter the moment they see the great news that they got in,” SBC consultant Erika says.

Look for mentions of merit-based scholarships, MBA fellowships, or other forms of aid in your letter. Different criteria, such as scholastic accomplishment, exam results, and vocation objectives, could decide the qualifications of certain awards.

“The schools use scholarships to help people who truly need it, but also to entice students to choose their program,” Erika adds. “So if you get an admissions letter and make sure you read it thoroughly.”

If you believe you deserve more scholarship money than initially offered, don’t hesitate to contact the admissions committee. You might be able to negotiate additional funding.

Listen to B-Schooled Podcast #44: Negotiating Merit Scholarships

FAFSA – A Key Step in Securing Financial Aid

The Free Application for Federal Student Aid (FAFSA) is a must-do for college and grad school students. It determines your eligibility for federal student loan programs, including grants, work-study opportunities, and low-interest loans.

Completing the FAFSA accurately maximizes your chances of securing financial aid. Errors can lead to delays or even disqualification from certain funding sources, so carefully examining your form before submission is critical. Gather all necessary documents beforehand, such as tax returns and bank statements. Submit the FAFSA as early as possible since some funds are awarded on a first-come-first-served basis.

funding for your MBA

Evaluating Loan Options

Don’t accept loans without considering factors like interest rates, repayment terms, and the impact on personal finances during the program. This is especially important for private loans. International students may face unique challenges but can still find suitable financing options.

Comparing Federal and Private Loan Options for MBA Students

Federal Loans: These are more favorable due to lower interest rates and flexible repayment plans. Examples include the Direct Unsubsidized Loan and the Grad PLUS Loan. Learn more about these programs from the Federal Student Aid website.

Private Loans: Offered by banks or other financial institutions, these loans often have higher interest rates and less repayment flexibility. Be sure to compare multiple lenders before deciding.

Tips for International MBA Students Financing Your MBA

MBA candidates outside the US can explore various funding sources, such as scholarships offered by their home country’s government or organizations and external MBA scholarships provided by business schools.

Additionally, some private lenders offer specialized loan products tailored to international students’ needs. Research your options thoroughly before committing. For example, the Prodigy Finance platform offers loans to international students without requiring a co-signer or collateral.

You are Worth It

During that episode of B-Schooled, SBC consultant Erika recounted a time when Berkshire Hathaway chairman and CEO Warren Buffett spoke to her class when she was a student at Harvard Business School.  “He was just so down to earth and cool,” she recalls.  “And he said, ‘the more you learn, the more you earn’.”

While all this financial stuff seems overwhelming, remember that an MBA is a long-term investment in yourself, Erika says. It will continue boosting your career potential after your first job after graduation. “Despite all the loans I took on, and I’m still paying off, I would do it again all over again exactly as I did.”

***

Stacy Blackman Consulting offers multiple services to meet your MBA application needs, from our All-In Partnership to hourly help reviewing your MBA essays, resume, and more.  Contact us today for a free 15-minute advising session to talk strategy with a Principal SBC consultant! 

Here’s a snapshot of the caliber of expertise on our SBC team.

SBC’s star-studded consultant team is unparalleled. Our clients benefit from current intelligence that we receive from the former MBA Admissions Officers from Harvard HBS, Wharton and every elite business program in the US and Europe.  These MBA Admissions Officers have chosen to work exclusively with SBC.

Just two of the many superstars on the SBC team:
Meet Anthony, who served as the Associate Director of MBA Admissions at the Wharton School at the University of Pennsylvania, where he dedicated over 10 years of expertise.

Meet Andrea, who served as the Associate Director of MBA Admissions Marketing at Harvard Business School (HBS) for over five years.

Tap into this inside knowledge for your MBA applications by requesting a consultation.

Contact

(323) 934-3936
info@StacyBlackman.com

Latest Blog Post

Stanford MBA Acceptance Rate, Deconstructed

The Stanford Graduate School of Business remains highly sought after by applicants and is considered the most competitive MBA program in the world. Just how hard is it to get into the GSB? The ...