10 Grant Opportunities for Minority Owned Businesses

• Author: Kelly Cooke
• Posted: 2024-02-11

As a minority small business owner, it can be a challenge to find an affordable business loan. There are many organizations, including the United States government, that offer grants to the minority owners of a small or expanding business. Each year millions of dollars are awarded to hard-working business owners who need a boost to start, expand, or modify their business.

While the money is out there, sometimes it is difficult to know just where to start. A grant is ideal because it is money that does not have to be repaid.

1. The FedEx Small Business Grant Contest

This is a national competition that awards $25,000 to six deserving U.S-based entrepreneurs and business owners. smallbusinessgrant.fedex.com

2. The National Association for the Self Employed (NASE) Growth Grants Program

lets business owners to apply in order to finance a need. For example, past awards funded purchases like computers, marketing materials or enabled business owners to hire part-time help.

3. The Dare to Dream Grant Program

"encourages students to move through the business creation process by offering business development seminars and up to $10,000 in funding."

4. The Miller Lite Tap the Future Business Plan Competition (formerly known as the MillerCoors Urban Entrepreneur Series).

This is a competition where minority business owners compete to win up to $200,000 in funding, education and other benefits. While not a true "grant" program, it works the same way and the pay off is quite big. Polish up your business plan. Providing access to mentors like Daymond John from Shark Tank, the competition was "designed to economically empower minority businesses, the program continues to invest in entrepreneurial dreams to empower urban communities."

5. The Small Business Administration (SBA)

has a number of business grants so that small businesses can be a part of the government's research and development efforts. In addition, there are also programs that enable small businesses to learn how to bid on federal contracts. According to the SBA, "Some minority groups are presumed to be socially and economically disadvantaged and can qualify for the 8(a) program. These groups include: African Americans, Hispanic Americans, Native Americans, Asian Pacific Americans and Subcontinent Asian Americans. Individuals who are not members of one or more of these groups can be considered for the 8(a) program, but they must provide substantial evidence and documentation that demonstrates that they have been subjected to bias or discrimination and are economically disadvantaged. Firms owned by Alaska Native Corporations, Indian Tribes, Native Hawaiian Organizations and Community Development Corporations can also apply to the program."

6. The Minority Business Development Agency (MBDA)

is a division of the U.S. Department of Commerce. They have awarded over $31.5 million to 21 recipients recently as part of their grant programs. "For more than 40 years, MBDA has led efforts to support minority firms and provide them with the tools and technical expertise they need to excel. This is the very foundation on which this Agency was founded back in 1969. It’s the core of who we are and what we represent,” said MBDA National Director Alejandra Y. Castillo. “This funding goes far beyond just the monetary aspect. This is a long-term investment in our community and in our nation.”

7. The Rural Business Enterprise Grants (RBEG)

Program provides grants to finance the development of small and emerging businesses in rural areas. The funds can be used for land acquisition, construction, renovation, technical assistance, project planning, and more. According to the Rural Business Development Program, "RBDG is a competitive grant designed to support targeted technical assistance, training and other activities leading to the development or expansion of small and emerging private businesses in rural areas that have fewer than 50 employees and less than $1 million in gross revenues. Programmatic activities are separated into enterprise or opportunity type grant activities."

8. The Huggies MomInspired Grant Program

awards grants and business resources up to $15,000 to develop products and ideas that are inspired by motherhood.

9. The DOT Disadvantaged Business Enterprise (DBE) program

"is intended to ensure nondiscrimination in the award and administration of DOT-assisted contracts in the Department’s highway, transit, airport, and highway safety financial assistance programs."

10. Operation HOPE Small-Business Empowerment Program.

This program is for those who aspire to be entrepreneurs but live in "low-wealth" communities, and lack access to the resources and funding options needed to start or expand a business. Often, these "low-wealth" communities are also minority communities, according to Operation Hope, and so they provide "access to small-business financing options, as well as help with setting up a business plan and financial statements, credit counseling and educational resources."