Black women have the highest percentage of businesses starting more than the rest of us, yet they face a lot of obstacles and limited capital resources when they try to start and expand their businesses.
One source of money: business grants specifically designed for Black women. These grants, in addition to the ones for minority women, women, or Black entrepreneurs generally can assist you in securing the financing for your business that traditional lending institutions could have rejected.
8 Grant Business And Resource grants for women of color
While there are not a ton of grants specifically targeted at Black women, it is possible that you could discover grant opportunities that are specifically targeted towards minorities, women, or Black entrepreneurs. These are all grants that may be a possibility for you. we’ve listed a few of these below.
Another thing to be aware of regarding deadlines: The window for applications is often quite brief. If a particular program is not accepting applications be sure to take note of no prerequisites and join to be informed when it is reopened to the following round of applications.
1. SBA 8(a) Business Development Program
The SBA 8(a) Business Development Program is a business assistance program that assists “economically and socially vulnerable businesses” in procuring government contracts.
Every year the federal government seeks to reserve 5 percent of its budget for contracting for small companies that are run by minority entrepreneurs. This SBA 8(a) program offers these entrepreneurs the necessary support to successfully secure those contracts without having to compete. Entrepreneurs participating in the program can get help and guidance to get their businesses off the ground and secure government contracts, too.
To be eligible for this program for nine years applicants must meet the definitions provided by the SBA of “economically disabled” and “socially disenfranchised” individuals, as well as other things. In simple terms, it is the SBA defines “economically marginalized” people as entrepreneurs “whose capability to compete within the free enterprise system has been hampered due to a decrease in capital and the credit possibilities.” In addition “socially marginalized” people are defined in part as “those who are exposed to racial or cultural discrimination or prejudice in American society due to their identity as members of groups without regard to their individual strengths.”
IFW (IFW) aids founders of females and females regardless of race or ethnicity to raise capital (specifically via crowdfunding) as well as coaching networking, and grant opportunities. The group’s grant hub collects grants for women (crucially updated with submission deadlines).
Apart from grant programs provided by private and corporate sponsors The hub also provides details and applications for IFW’s three grant programs, which include an emergency fund for business owners affected by the COVID-19 virus.
IFW has also gathered data regarding grant programs that are not part of IFW’s network. IFW network and some of that are specifically targeted at Black entrepreneurs.
3. NASE Growth Grants
In 1981 in 1981, it was established in the year 1981. National Association for the Self-Employed (NASE) is the country’s “largest non-partisan, non-profit association” committed to helping small- and mid-sized businesses as well as entrepreneurs. One of the ways the association helps those who are the smallest owners is by offering a grants program. This program offers NASE members up to $4,000 in order to fund an individual need, be it the purchase of equipment, hiring employees or launching a marketing plan, or any other approved use.
Be aware that the NASE Growth Grants aren’t given exclusively to Black or female entrepreneurs. Based on the frequency at which the grants are granted, Black women entrepreneurs have numerous opportunities to receive one. Applications are reviewed regularly throughout the year. The NASE grants one grant each month.
In order to apply for a NASE Growth Grant, You’ll need to become a member of NASE and be within good standing with the group for at least 3 months. Following that, you’ll be eligible to apply on the internet.
4. Minority Business Development Agency (MBDA)
The Minority Business Development Agency (MBDA) is an agency in the Federal government that helps the development and expansion of minority-owned companies in the U.S. Similar to the SBA it is similar to the SBA in that the MBDA has more than 40 physical offices across the United States that allow minority entrepreneurs to get assistance with financing and business advice.
Although it’s not a grant program on its own, however, the MBDA is an excellent source for Black women who are entrepreneurs. Find out more about loan and grant programs through the MBDA website.
The ultimate source of federal grant sources, Grants.gov is a site where federal agencies that provide grant programs, both specifically targeted to minority-owned companies and other businesses–post details about their programs which include the requirements for eligibility along with the amount of funding and deadlines for applications. You can search for a grant based on various search criteria, such as your sector and the federal agency that sponsors it.
6. The Amber Grant Foundation Amber Grant Foundation
Similar to like the NASE Growth Grant, the Amber Grant Foundation provides monthly grants of between $10,000 and $15,000 for female entrepreneurs to launch their own businesses. If you’re granted one of the monthly $10,000 grants, you’ll also be eligible to be a winner of the annual $25,000 Amber Grant grant.
The process for applying is easy and easy to complete: Fill out the form at the Amber Grant website, where you’ll be required to tell the organization some details about your business plan and the way you plan to spend the grant money. Be aware that you’ll need to pay a fee of $15 for the application.
7. Female Fund Founders Fund
If you’re a tech-focused entrepreneur looking for early-stage funding opportunities think about pitching the Female founders Fund (FFF). The fund was founded by “serial entrepreneurial” Anu Duggal in 2014 and supported by a team of female investors and entrepreneurs, the fund is committed to “investing into the future generation of transformative tech companies that were that were founded with women.”
FFF invests in consumer, B2B fintech, health care, and fintech businesses with more than one woman as a founder member, and it mostly is focused on investing in early-stage companies. However, FFF is open to looking at pitches from businesses across diverse industries, sometimes even before the companies are ready to go through an official round of funding. FFF typically makes six to eight investments per year, and the investments range between $500,000 and $750,000.
8. Black Girl Ventures
Black Girl Ventures (BGV) offers support, coaching, and development services to Black and Brown female entrepreneurs.
BGV’s most prominent offering is its crowd-funded pitch competition that allows participants three minutes to present their idea for a business and then a three-minute Q&A session with a group of experts in front of an audience. The audience then is able to vote “with their money” through the platform for crowdfunding SheRaise. Third, second, and first places are revealed. anyone who takes part in the BGV Pitch is able to raise funds. The winners receive additional benefits, in addition to complimentary business coaching as well as discounted graphics design solutions.
The most important thing is the bottom line
Being a Black female business owner can be extremely demanding, but you’re certainly not alone on your journey. In addition to the networking, community, and support organizations we’ve mentioned previously, there are plenty of other sources to think about. Going to any neighborhood SBA and SCORE office, whether in person or via the internet could be the best way to access information and free help.