In the United States, there are many business grants for Black women. These grants offer funding opportunities to them so as to promote racial and gender equality in business and in society. Apart from that, these grants also support entrepreneurship, education, research, arts, and other skills. However, to receive business grants, one needs to identify the right program, meet eligibility requirements, and submit the right application.
In this article, you will learn about some of the most popular business grants for Black women in the United States. However, before that, we will take a look at what business grants for Black women mean and how they work. Finally, we will take a look at the ten most popular grants for starting a business for Black women. Hence, to learn more, read on through to the end of the article.
What Are Business Grants For Black Women?
According to the Forbes Advisor,
“Business grants for Black women are financial resources specifically designated to support Black women in business and other areas like education, research, and art. Government departments, corporations, foundations, and other organizations offer these funds. Grants, as opposed to loans, don’t have to be repaid, making them a great funding option if you can qualify.”
As per Harvard Business Review research, Black women are some of the fastest-group entrepreneur groups in the United States. However, despite having a high startup rate, only 3% of Black women run mature businesses.
With the help of these grants, Black female business owners will be able to bridge the funding gap. There are many grants offered by the state as well as large organizations that help Black women business owners overcome racial biases in society.
Apart from loans and grants, there are also additional resources available for such business owners. These grants include minority business loans and small business training programs.
How Do Business Grants For Black Women Work?
NerdWallet claims –
“Business grants offer free money that can help Black women grow or even launch a business. Although that may sound appealing, small-business grant contests tend to have short application windows and lots of competition for relatively small amounts of funding, so it’s important to tap other resources, too.”
However, when a Black woman wants to apply for a grant, there is a lengthy application and selection process for the same. If you are applying for a grant, you will first need to check whether the grant fits the needs and goals of your business or not. While some grants are specifically for business purposes, others are for smaller and creative projects for minority upliftment.
After you apply for a loan, your application will be subjected to review. A review board or a committee does the review of the application. They check the merit and alignment of the application with the objectives of the grant. They often check the feasibility of the proposed business by looking at the plan. Apart from that, they also check the potential impact of the business on the community in the long run.
After selecting the right applicant for the grant, the organization disburses the grant amount to the recipient. In some cases, the organization disburses the grant in installments after achieving certain goals and milestones. However, the best part about these grants is that the recipients need not pay back the amount.
Top 10 Business Grants For Black Women
According to BankRate.com,
“While many other founders turn to bank loans, credit cards or lines of credit to fund their businesses, Black business owners tend to self-fund, which can be risky. But companies and organizations that create grants for Black women entrepreneurs can give more Black-owned businesses throughout the country the chance to succeed.”
The following are some of the most popular business grants for Black women that you need to learn about:
1. HerRise Micro Grant
With this grant, black women business owners receive $1,000 per month. The Yva Jourdan Foundation and HerSuiteSpot offer grants to black women.
HerRise Micro Grant is one of the lifelines for women of color entrepreneurs, offering a boost of $1,000 to help close the gap in business funding. It funds basic business needs that enable innovation and community impact. Further, the grant will help the awardees to gain access to important resources and a supportive community that can help increase the probability of success and motivate other women of color to pursue their entrepreneurial aspirations.
2. Black Girl Ventures Pitch Program
Here, the first-place winner receives $10,000, the second-place winner receives $6,000, and the third-place winner receives $2,000.
The Black Girl Ventures Pitch Program empowers entrepreneurs of color through the award of capital via a community-driven pitch competition. Capital prizes include cash, Google Cloud Credits, Salesforce packages, pitch coaching, increased business visibility, and an access network for growth and opportunity in business for women of color.
3. Corporate Counsel Women of Color Grant Program
It awards $5,000 to Black women business owners. However, the business needs to be at least three years old and must have generated at least $25,000 in revenue.
The Corporate Counsel Women Of Color Grant Program supports women entrepreneurs with a $5,000 grant for use in advancing their businesses and also matches them up with minority women lawyer-mentors to help with legal advice on business-related issues and expanded networking. This program is meant to help women of color maximize their potential, get economic power, and generate wealth as they try to surmount the unique challenges facing women of color in getting funding for business.
4. NAACP Powershift Entrepreneur Grant
The NAACP Powershift Entrepreneur Grant is quite beneficial for women of color entrepreneurs. It provides a large $25,000 grant that will help a woman of color to grow and scale her business. The funding is complemented by mentorship from business leaders, including Daymond John, and exposure during the Black Entrepreneurs Day broadcast1. This grant not only provides financial support but also other valuable resources and tools necessary to propel the futures of Black entrepreneurs, contributing much to the economic growth and sustainability of Black communities.
5. NASE Growth Grant For Black Women
The National Association for the Self-Employed awards grants to its members up to $4,000 to finance their business needs.
The NASE Growth Grant for Black women entrepreneurs runs up to $4,000, which could be allocated toward marketing, hiring, or expansion. Almost $1 million has been given to small businesses since 2006, so there’s a lot of commitment toward growing a business and seeing it through to success. The quarterly review of the grant makes sure help is timely and of the best nature to develop a business.
6. Center for Economic Inclusion Vanguard Accelerator
This grant is for Black and Latina women having businesses in the Minneapolis or St. Paul area. However, the business owner needs to have at least three employees. Furthermore, the business also needs to be at least three years old with annual revenue between $75K and $3mn. The organization selects ten businesses to give $5,000 to each plus loans.
7. Stacy’s Rise Project
Stacy’s Rise Project is an outstanding opportunity for women of color entrepreneurs. It provides $25,000 in business grants, 4 months of 2:1 PepsiCo executive mentorship, and increased visibility through Stacy’s brand platform1. Besides that, it provides a peer network with other women entrepreneurs and a spotlight feature on the FoundedByHer.org business directory1. This program will uplift leaders by empowering communities to thrive, particularly in the food and beverage consumer packaged goods space; hence, this is a great resource for women of color looking to grow their businesses.
This grant is open to all women small business owners who operate in the food and beverage industry. Here, the foundation offers ten grants of $25,000 each.
8. The Amber Grant Foundation
The Amber Grant awards up to $10,000 monthly to help women entrepreneurs launch their businesses. This loan is also applicable to Black women. Once you are eligible for this grant, you can also run for receiving the yearly $25,000 grant.
9. ThirdLove’s TL Effect Grant Program
Apart from a grant program, it is also a mentorship program for Black women business owners. Every year, one recipient gets an amount of $25,000. Apart from that, the business also gets mentorship and financial advice.
10. National Black Business Pitch
The National Black Business Pitch program offers eligible businesses with grants up to $10,000. The amount goes to three Black-owned US-based businesses.
The NBBP is one commendable initiative to bring Black-owned businesses in front of corporations with the purpose of diversifying their supply chain by new products and services1. Competitions are in a two-phase structure that enables Black entrepreneurs to showcase their businesses to a panel of judges and a virtual audience made up of corporate procurement and supplier diversity professionals1. With cash prizes as large as $10,000 and the possibility of long-term, sustainable contracts, the NBBP is an avenue through which Black business owners will find appreciation, if not growth and exposure.
Wrapping Up
You can see from the article that these grants for black women serve as their business lifeline. With the help of these loans, Black women will be able to launch and expand their businesses. Apart from that, they will also be able to use their loans to create a positive impact in the community. Do you have more information to offer? Consider sharing them with us in the comments section below.
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