Grants for African American businesses may prove to be challenging at first. Yet, it can actually be less intimidating once you have found the resources to locate them.
The internet nowadays is a friend to everyone who is looking to avail of grants for African American businesses.
Primarily because of the vast amount of information available in just one website, a businessman interested, for example, in knowing what grants are available, what the office address of the foundation is, forms that needed to be filled out, qualifications needed, can all see them all on one website.
Comprehensive List of the Grants for African American Business Owners in 2020
An example is the Minority Business Development Agency (or the MBDA) website, which should prove very helpful for minorities like African American businessmen in getting information about grants that they could avail for their businesses.
For businessmen who want to avail of grants without having to go to a major city, business resources for minorities, including African Americans, are actually closer than they think. Most, if not all states, have their own local Economic Development offices.
More often than not, these Economic Development offices also have their own websites that provide information for grant seekers. Aside from financial grants for African American businesses, State Economic Development Offices also provide marketing assistance, research and development programs, tax reimbursement to start-up firms, technical backing, and workforce training.
Grants usually come in forms of Community Development Grants and loans that provide funding for projects that further the objectives of the state’s economic development and generate jobs for residents.
Grants can also come in the form of Small and Medium Enterprise (SME) Growth Funds that usually provide initial amounts, usually from $150,000 to as high as $350,000, as long as they have the potential to thrive and is beneficial to the community. State grants also assert the importance of employment generation in starting businesses.
According to Chron Small Businesses, there are grants made available for African Americans, although, they are far less competitive when compared to the plethora of other grants offered by large grant programs that are essentially open to every small business out there.
Federal Funding Opportunities for Black Businesses
1. The Minority Business Development Agency
The name itself is quite explanatory when it comes to what this agency stands for. The Minority Business Development Agency helps provide funding for minority businesses. As an African American small business owner, you have several funding options, grants and more you can apply to when it comes to growing your business.
It is important to understand the history of the MBDA so as to be able to grasp what the agency represents. The Minority Business Development Agency (MBDA) was originally founded and referred to as the Office of Minority Business Enterprise, which was named by President Richard M. Nixon on March 5, 1969.
This agency has since then made lots of strides especially when it comes to providing funding to minority and African American Businesses over the years. As a Black Business Owner, you may have exhausted options for personal funding at your local bank, or may not qualify for personal or business loans, however, finding other options can be quite worthwhile.
One area you can definitely take a look at is the 2020 list of grants for Black Entrepreneurs and business owners like you. Applying and getting these grants can definitely help set the pace for how far your business goes when it comes to expanding and growing your business. This program is definitely worth the work required to apply for their grants.
2. The SBA 8a Business Development Program
The options that exist when you browse the U.S. Small Business Administration website are quite varied. Therefore, you are much likely to find a business grant for minorities that you seek. The Small Business Administration (SBA) creates different categories of business owners’ application criteria, which makes for a seamless application experience.
If you qualify for a given business category that you are interested in. You may want to check the application process and how long you have been in business, your financial history, and plans for the grant if awarded. All of these are very helpful in terms of helping you get into the right mindset. When you finally apply, make sure that you have a record of your application and the e-mail correspondence between you and the SBA.
3. The Small Business Administrator
Many small business owners may have a heightened preference for federal loans for many reasons, however, creating a well-thought-out business plan is something that can change the course of your business when done right. Applying for a business grant may require a lot of that, but more of planning and well-document business history and goals for the future.
You can leverage your business proposals in ways that can help you attain bigger and better grants. This process also applies to many other area s of your business growth. One thing that particularly stands out in the SBA program is the number of options that are offered. You may be running a small business from the comfort of your home, or working at a corporation while growing and developing your business on the side.
Whatever the case, finding funding for your black-owned business, black enterprises, or finding the right resources for African American businesswomen can be quite challenging in many ways than one. To help you navigate those challenges so you can take your business to the next level, take a look at some of the latest business grants for black women.
4. Grants for Minority Small Businesses
The search for business grants starts from the very first day it crosses your mind. The idea of small black businesses seldom finding resources for grants can become even complex when you do not know for sure when and how you would apply, not to mention meeting the criteria and qualifying.
This is one area that has created the uncertainty of applying to grant-granting agencies and now knowing how you can navigate through the challenges can be quite helpful. As always, it is important to check on the criteria of the grant you are applying for before you proceed.
This list contains some of the grants that are offered to African Americans and other minority business owners namely:
- The small Business Innovation Research (SBIR) Small Business
- Technology Transfer Program (STTR). Though these are
- The Equal Employment Opportunity Commission.
- KeyBank runs a minority and women’s business enterprise program.
- The Equal Employment Opportunity Commission
5. The USDA Rural Business Enterprise Grant (RBEG) Program
When black business owners apply for grants, the category may oftentimes say “urban” “rural” or “minority grants”. However, all of these different terms refer to the opportunities you as an African American businessmen, black women business owners, Be that as it may, you should consider applying if you meet the stipulated criteria for the grant category.
Though different titles and categories exist for African American grants, your chances of applying are unaffected. When you apply for funding to help grow your business, bear in mind that some pertinent information about your business may be requested by the agency offering the grants. Though some people may not be entirely open to sharing some of their details, others provide everything that is required.
At the end of the day, it boils down to what exactly you are looking for in terms of funding opportunities for your business. The route you take toward accomplishing your goals of getting business grants all depends on what you hope to accomplish with the grant award. This may also be presented to help create high-quality applications that get grants.
Conclusion
There you have it! The comprehensive list of Grants for African American Small Business Owners for 2020. This is a very helpful list to reference and keep quite close to you in case, you decide you want to apply for more business grants.
As a minority business owner, aspiring business owners, and entrepreneurs, there comes a time when one has to make a decision as to how to grow one’s business and take it to the next level. Having access to funds can definitely make that dream a seamless one for sure.
If your business gets the funding you applied for, make sure you keep a detailed record of expenditure made with the award funds. This comes in handy for when you apply for other grants and shows a high level of responsibility, accountability, and trustworthiness.
If you’re thinking of starting a business and not sure where to look, click here to contact us. We’re here to help you every step of the way.
Are you a business owner or thinking of starting one? Have you applied for the grants listed or other grants in the past? What have you experienced been like applying for grants? Share your story with us in the comment section below.
