According to the data of the US Commerce Department, businesses owned by people of color are less stable than businesses owned by white people, especially businesses with less than $500,000 in value. i is income.
In 2021, companies founded only by women received only 2.3% of the total capital invested in startups in the United States, according to PitchBook, a business research site, and businesses run by women Black received less than 1%. In a 2018 survey by the website Experian, 62% of LGBTQ respondents said they experienced financial problems because of their identity or sexuality.
If you are a person of color who owns a business, getting the financing you need is more difficult than your white counterparts. But there are financing options available specifically for you. Here are some you should know.
Amazon’s Black Business Accelerator Program. Created to support Black entrepreneurs, the program offers financial support, mentoring, business advice, and promotional support for Black businesses. Eligible customers will have access to free imaging services, cash donation opportunities, advertising coverage, and cash on startup costs.
Amber Grant Foundation. With a simple goal of supporting women entrepreneurs, the Amber Grant Foundation was established in 1998 and provides $10,000 grants each month, with an additional $25,000 grant in December, to women entrepreneurs with a story strong.
BIPOC Small Business Grant through Annuity Payment Freedom. This grant by the financial advisory company Annuity Payment Freedom was created in response to the impact of the disease on the businesses of BIPOC (Black, Indigenous, and people of color). There are marketing grants to help drive business and microgrant opportunities. Grants are awarded to businesses on a rolling basis, with winners announced on the last day of each month.
Black Founder’s startup funding. The inaugural Black Founder’s Grant Program from the SoGal Foundation, a global fundraiser for diverse entrepreneurs, provides grants of up to $10,000 to Black women. and various organizations and business people. The program accepts applications on a rolling basis and is open to entrepreneurs who have a legally registered business that plans to seek investment financing at scale.
Capital One Business Assistant. Capital One Bank’s Business Grant program, in partnership with the Association for Enterprise Opportunity, aims to support Black businesses with a $10,000 grant to supplement any business lost to the COVID-19 pandemic. Help is still available.
Grant the Fearless strivers. Credit card company Mastercard is partnering with start-up funder Fearless Fund to launch the Fearless Strivers Grant, which aims to support small businesses. owned by Black women. The goal is to provide 11 small businesses with $10,000 grants, individual mentorship and digital tools to help them grow. eh. Applications open at the end of the year.
Foundations for a Just Helping Society. The nonprofit Foundation for a Just Society offers grants to local, regional, and international organizations and networks that support the rights of women, girls, and LGBTQ people. You can email the organization for more information on technical assistance.
Go. Be. Elevate Fund. Formerly known as the Good Work Network, the organization aims to help entrepreneurs of color and women small business owners. Go. Be. there are grants of up to $4,000 available for projects to help grow your small business. To be eligible for this grant, you must be a Go.Be. customers, go to their website and see if your small business meets the entry criteria.
IFundWomen COVID-19 Financial Relief. The IFundWomen foundation launched a COVID-19 Relief Fund that provides community-funded special funds and free training to women’s businesses affected by the disease. Donations are still available and are being distributed on a rolling basis. To be considered, businesswomen must start a campaign at IFW.
Swiftarc Beauty Fund. Swiftarc Ventures, a venture capital firm, has made a $10 million beauty investment aimed at leading female beauty and wellness startups. This fund is supported by leading women in the beauty and investment industries and offers not only grants, but also peer-to-peer networking and mentoring opportunities.
In addition to the resources above, there are also training opportunities and government contracts, including:
8(a) Business Development Program. The purpose of this program, through the US Small Business Administration, is to help small businesses owned by poor and wealthy people. Businesses that are approved to participate have access to training and technical assistance, and are eligible for additional contracting opportunities with the federal government.
HUBZone Program. This program helps businesses in underutilized business zones by bidding on certain government contracts. Businesses participating in the HUBZone program can compete for award contracts and receive preferential treatment over others, including a 10% price assessment in open contract competitions.
Ministry of Small Business Development Agency (MBDA). Targeted grants and loans designed to help businesses owned by anonymous parties are offered throughout the year.
Veterans Affairs Small Business Program. This federal contracting program offers assistance to small business owners who are disabled adults. Eligible small businesses must be more than 50% owned/managed by one or more disabled adults and have day-to-day operations and Long-term goals are managed by at least one adult with a disability.
SBA programs for women’s businesses. Under the Small Business Administration, the Office of Women’s Business Ownership provides training and access to credit and capital to women entrepreneurs, coordinated through local offices. Another SBA program helps women-owned companies compete for federal business contracts.
Finally, keep in mind that nearly $600 million in federal funds – most of which are aimed at businesses owned by undisclosed groups – are being distributed to the Delaware Valley under the State Small Business Credit Initiative.
