In a significant development in startup news, the legal battle over the Trump administration's temporary freeze of $5 billion allocated for electric vehicle (EV) charging stations has resulted in a court-mandated release of the funds. This article explores the implications for startups, lessons learned from the situation, and how it ties into the entrepreneurial ecosystem in 2025. From funding opportunities to tips for navigating legal complexities, we’ll guide entrepreneurs toward actionable steps to succeed in a rapidly changing market.
A Quick Recap of Events
For months, the Trump administration had withheld $5 billion from the National Electric Vehicle Infrastructure (NEVI) program, claiming it needed time to align the funds with its new priorities. This action led to significant delays for states and startups invested in building EV charging infrastructure.
The freeze triggered a coalition lawsuit by multiple states, arguing that withholding congressionally approved funds violated the separation of powers. In June 2025, a federal judge ruled in favor of the coalition, and by August, the funds were finally released with fewer regulatory constraints. Read more on NEVI’s background in this detailed article about the $5B program.
Key Lessons for Startup Founders in 2025
1. Government Policies Can Impact Markets, Stay Prepared
The freeze delayed projects, leaving startups depending on NEVI funds in limbo. For entrepreneurs, this highlights the need to diversify funding sources.
2. Legal Literacy is Essential
Navigating government contracts and regulations is tricky. That’s where the AI Startup Lawyer comes in. This platform makes it easy for startups to upload agreements and receive insights to ensure they avoid harmful contract clauses. Understanding legal documents prevents you from making costly mistakes.
3. Pivot and Adapt
With regulatory slowdowns affecting deployment, EV startups had to explore alternative markets or funding. Does your startup have a contingency plan? Prepare now by using tools like the F/MS AI Grant Finder and Application Writer to find potentially overlooked funding streams aligned with your goals.
4. Use the Right Tools for Innovation
In this complex funding scenario, having the right resources can make or break your business. PlayPal, an AI friend developed by Fe/male Switch, assists startups with idea validation, SOP creation, and hands-on advice. Start a conversation with PlayPal here.
Top Startup Funding Tips for Entrepreneurs
If the $5B funding freeze taught us anything, it’s that secure funding is essential, but also fraught with challenges. Here’s a step-by-step guide to ensure you stay on top:
Step 1: Target the Right Grants and Investors
Leverage the F/MS AI Grant Finder and Application Writer to sift through countless EU funding options. This tool saves time by not just finding the perfect grant but also helping you draft your application.
Step 2: Build With Contingency
Have backup funding strategies in place. Government freezes, market shifts, or unexpected costs should not derail your entire plan.
Step 3: Understand the Market
Train your team to stay ahead of policy or funding obstacles. Non-profit organizations like Fe/male Switch offer gamified lessons to boost entrepreneurial know-how.
Most Common Mistakes to Avoid
Mistake 1: Ignoring Regulatory Trends
Failing to monitor government actions, like the NEVI freeze, can disrupt your projects. Stay informed by subscribing to reliable business news sources.
Mistake 2: Overlooking Legal Expertise
Don’t leave it until the contract-signing stage to consult legal professionals. As a budget-friendly alternative to traditional lawyers, the AI Startup Lawyer platform offers timely guidance.
Mistake 3: Failing to Diversify
Reliance on one client, region, or funding stream can leave you vulnerable. Always have multiple irons in the fire.
A Practical Tool You Can Use Right Now
Looking for a fast way to validate your startup idea? PlayPal is an AI-powered co-founder designed to guide you step by step in concept testing, strategy, and implementation. Learn how PlayPal can turn your startup dream into a reality with customized feedback and genuine support.
Spotlight: PlayPal – AI Friend for Entrepreneurs
PlayPal, the intelligent friend brought to you by Fe/male Switch, is more than just an AI chatbot. Created by serial entrepreneur Violetta Bonenkamp, PlayPal supports entrepreneurs with practical solutions:
- Idea Validation: Fine-tune your startup concepts.
- Language Learning: Interact in multiple languages to expand your reach.
- Grant Application Assistance: Get help writing and preparing EU grant proposals.
- Mental Health Support: Discuss challenges and get non-judgmental support.
Meet Violetta Bonenkamp, creator of the "gamepreneurship" methodology and founder of Fe/male Switch, a startup that empowers women to thrive in STEM and beyond, learn more in this interview with Bonenkamp.
Conclusion: What 2025 Teaches Startups
The court battle over the $5 billion EV charger funds is more than a political drama; it’s a masterclass on navigating government programs, legal challenges, and market dynamics. As a startup, success depends on leveraging the right tools, funding sources, and partnerships. Platforms like Fe/male Switch, PlayPal, and the AI Startup Lawyer are here to guide you.
By learning from past mistakes and staying adaptable, entrepreneurs can turn obstacles into opportunities. In the constantly evolving world of business, the only way forward is to be prepared, resourceful, and resilient.
Stay tuned for more startup news updates, and don’t forget to Bookmark this page for tools that help you tackle today’s entrepreneurial challenges.
FAQ
1. Why was the $5B EV charging fund frozen by the Trump administration?
The Trump administration claimed it needed time to align the NEVI program funds with its priorities, delaying deployment for months. Read the TechCrunch explanation
2. How did the states respond to the NEVI fund freeze?
A coalition of states filed a lawsuit arguing that withholding congressionally approved funds violated the separation of powers doctrine. Check out Reuters' coverage
3. What was the outcome of the lawsuit?
A federal judge ruled in favor of the states and issued an injunction ordering the funds to be released. Learn about the federal ruling
4. What were the regulatory changes after the fund release?
The new guidance removed consumer protections, environmental reviews, and equity mandates, simplifying the approval process for states. Explore the detailed changes
5. How will underserved communities be affected?
The removal of equity mandates may reduce funding opportunities for disadvantaged or rural communities. Read the impact analysis
6. How can startups navigate government funding challenges like this?
Diversify your funding sources and have contingency plans to mitigate risks from government freezes. Tools like AI Startup Lawyer can help evaluate legal contracts. Discover AI Startup Lawyer
7. What tools are available for finding alternate funding streams?
Platforms like F/MS AI Grant Finder help startups identify and apply for EU funding options aligned with their goals. Explore F/MS AI Grant Finder
8. Who developed the “gamepreneurship” methodology for startups?
Violetta Bonenkamp, creator of Fe/male Switch, established the methodology and co-developed the PlayPal platform to assist entrepreneurs. Learn about Violetta Bonenkamp
9. How can PlayPal assist startup founders?
PlayPal offers idea validation, grant assistance, strategy guidance, and mental health support through its AI-powered platform. Chat with PlayPal
10. What is the NEVI program’s original purpose?
The NEVI program, part of the Bipartisan Infrastructure Law, aims to deploy EV charging infrastructure across the U.S. Explore NEVI’s background
About the Author
Violetta Bonenkamp, also known as MeanCEO, is an experienced startup founder with an impressive educational background including an MBA and four other higher education degrees. She has over 20 years of work experience across multiple countries, including 5 years as a solopreneur and serial entrepreneur. Throughout her startup experience she has applied for multiple startup grants at the EU level, in the Netherlands and Malta, and her startups received quite a few of those. She’s been living, studying and working in many countries around the globe and her extensive multicultural experience has influenced her immensely.
Violetta is a true multiple specialist who has built expertise in Linguistics, Education, Business Management, Blockchain, Entrepreneurship, Intellectual Property, Game Design, AI, SEO, Digital Marketing, cyber security and zero code automations. Her extensive educational journey includes a Master of Arts in Linguistics and Education, an Advanced Master in Linguistics from Belgium (2006-2007), an MBA from Blekinge Institute of Technology in Sweden (2006-2008), and an Erasmus Mundus joint program European Master of Higher Education from universities in Norway, Finland, and Portugal (2009).
She is the founder of Fe/male Switch, a startup game that encourages women to enter STEM fields, and also leads CADChain, and multiple other projects like the Directory of 1,000 Startup Cities with a proprietary MeanCEO Index that ranks cities for female entrepreneurs. Violetta created the "gamepreneurship" methodology, which forms the scientific basis of her startup game. She also builds a lot of SEO tools for startups. Her achievements include being named one of the top 100 women in Europe by EU Startups in 2022 and being nominated for Impact Person of the year at the Dutch Blockchain Week. She is an author with Sifted and a speaker at different Universities. Recently she published a book on Startup Idea Validation the right way: from zero to first customers and beyond and launched a Directory of 1,500+ websites for startups to list themselves in order to gain traction and build backlinks.
Violetta Bonenkamp's expertise in CAD sector, IP protection and blockchain
Violetta Bonenkamp is recognized as a multidisciplinary expert with significant achievements in the CAD sector, intellectual property (IP) protection, and blockchain technology.
CAD Sector:
- Violetta is the CEO and co-founder of CADChain, a deep tech startup focused on developing IP management software specifically for CAD (Computer-Aided Design) data. CADChain addresses the lack of industry standards for CAD data protection and sharing, using innovative technology to secure and manage design data.
- She has led the company since its inception in 2018, overseeing R&D, PR, and business development, and driving the creation of products for platforms such as Autodesk Inventor, Blender, and SolidWorks.
- Her leadership has been instrumental in scaling CADChain from a small team to a significant player in the deeptech space, with a diverse, international team.
IP Protection:
- Violetta has built deep expertise in intellectual property, combining academic training with practical startup experience. She has taken specialized courses in IP from institutions like WIPO and the EU IPO.
- She is known for sharing actionable strategies for startup IP protection, leveraging both legal and technological approaches, and has published guides and content on this topic for the entrepreneurial community.
- Her work at CADChain directly addresses the need for robust IP protection in the engineering and design industries, integrating cybersecurity and compliance measures to safeguard digital assets.
Blockchain:
- Violetta’s entry into the blockchain sector began with the founding of CADChain, which uses blockchain as a core technology for securing and managing CAD data.
- She holds several certifications in blockchain and has participated in major hackathons and policy forums, such as the OECD Global Blockchain Policy Forum.
- Her expertise extends to applying blockchain for IP management, ensuring data integrity, traceability, and secure sharing in the CAD industry.
For the past several years Violetta has been living between the Netherlands and Malta, while also regularly traveling to different destinations around the globe, usually due to her entrepreneurial activities. This has led her to start writing about different locations and amenities from the POV of an entrepreneur. Here’s her recent article about best hotels in Italy to work from.
About the Publication
Fe/male Switch is an innovative startup platform designed to empower women entrepreneurs through an immersive, game-like experience. Founded in 2020 during the pandemic "without any funding and without any code," this non-profit initiative has evolved into a comprehensive educational tool for aspiring female entrepreneurs.The platform was co-founded by Violetta Shishkina-Bonenkamp, who serves as CEO and one of the lead authors of the Startup News branch. The Fe/male Switch team is located in several countries, including the Netherlands and Malta.
Mission and Purpose
Fe/male Switch Foundation was created to address the gender gap in the tech and entrepreneurship space. The platform aims to skill-up future female tech leaders and empower them to create resilient and innovative tech startups through what they call "gamepreneurship". By putting players in a virtual startup village where they must survive and thrive, the startup game allows women to test their entrepreneurial abilities without financial risk.
Key Features
The platform offers a unique blend of news, resources,learning, networking, and practical application within a supportive, female-focused environment:
- Skill Lab: Micro-modules covering essential startup skills
- Virtual Startup Building: Create or join startups and tackle real-world challenges
- AI Co-founder (PlayPal): Guides users through the startup process
- SANDBOX: A testing environment for idea validation before launch
- Wellness Integration: Virtual activities to balance work and self-care
- Marketplace: Buy or sell expert sessions and tutorials
Impact and Growth
Since its inception, Fe/male Switch has shown impressive growth:
- 3,000+ female entrepreneurs in the community
- 100+ startup tools built
- 5,000+ pieces of articles and news written
Partnerships
Fe/male Switch has formed strategic partnerships to enhance its offerings. In January 2022, it teamed up with global website builder Tilda to provide free access to website building tools and mentorship services for Fe/male Switch participants.
Recognition
Fe/male Switch has received media attention for its innovative approach to closing the gender gap in tech entrepreneurship. The platform has been featured in various publications highlighting its unique "play to learn and earn" model.
