The 250,000 Connected Fund has awarded grants to 305 groups fighting gun crime over three previous funding rounds. But it has widened its remit to include knife and gang issues for the fourth round because the problems are so closely related.
Organisations have until 16 December to bid for sums of up to 5,000 each. Money seized from criminals pays for the fund.
Home Office minister Hazel Blears promised that the initiative involved a "minimum of bureaucracy".
"It means that small community groups are not prevented from doing valuable work for the want of a small amount of funding," she said.
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