Many Black business owners face racial biases that hinder expansion of their production, especially when it comes to traditional financial support to grow their business. The leading global financial institute, Goldman and Sachs, reported Black business owners are less likely to receive a loan and face predatory payment terms. As a result, Black business owners are experiencing difficulties in obtaining the proper funding needed to launch or expand, due to systematic biases in lending procedures, historical inequities in wealth and other factors.
Grants can help level the playing field by giving Black-owned businesses access to resources that they might not otherwise have, allowing them to expand their operations, hire workers and invest in infrastructure. Here are five grants that are looking to propel the Black dollar.
Nextdoor is a firm that created an app where the collective community that consists of residents, local business owners and publications communicate the shared needs of the neighborhood. Through Nextdoor, the Keep it Local Business is available for businesses of color that are in the U.S., some other requirements for the micro-grant are to be a for-profit business, have less than one million dollars in revenue and be community-driven. This innovative program is made possible by Hello Alice and a collaboration with the NAACP. The grant includes $5,000 to support their business, ad credit for marketing and public recognition.
Wish Local Empowerment Program
The e-commerce company Wish created a grant to support Black-owned small businesses. They dedicated $500-$2000 to go to small businesses with 20 employees or less in the U.S. and recipients of the grant would join the Wish Local program. Wish Local is a set of initiatives that makes it possible for small companies to collaborate with Wish. Which programs to take part in is up to the stores. They can acquire wholesale goods, serve as local Wish pickup sites, sell their merchandise on Wish, and more. Over 500 million people use the mobile shopping app Wish worldwide. Partnering with Wish gives you access to Wish’s enormous customer base.
People of color or women entrepreneurs can apply for $500 awards each month from the Freed Fellowship. Grant recipients have the opportunity to earn an extra $2,500 at the end of the year, and applications are taken on a rolling basis.
PowerShift Entrepreneur Grants
Twenty Black entrepreneurs have a chance at winning $25,000 to grow their businesses through this NAACP PowerShift Entrepreneur grant, with support from Shark Tank’s Daymond John. In addition to the grant funding, each entrepreneur receives mentorship and brand visibility. Applications are typically open in early to mid-October.
Feed the Soul’s Restaurant Business Development Grant
In addition to receiving $10,000 funding, participants in the Restaurant Business Development Program also gain access to educational training and advisory services for six months. In order to promote their growth and development, the curriculum focuses on menu consultation, customer service, human resources, merchandising, and other areas.
