10 Best Grants for Black-Owned Business

How do small business grants work?

Grants for small businesses typically offer financial support for a very particular endeavor that the provider hopes to advance. In some cases, they also offer monetary or technical assistance to a specific demographic that has historically lacked access to business opportunities.

To apply for one, you'll need to ensure your business and its mission meet the eligibility criteria for the available program. Once you find an applicable grant, you'll typically apply by submitting a detailed business plan, financial statements, and a description of how you plan to utilize the financial assistance.

Ideally, your grant proposal should align with the goals the grantor outlined in the program description. After you receive a grant, providers will typically keep up with you to check on the progress of the grant project and close it out once you've met all of the outlined technical and financial expectations.

Although grants are typically free, they may be taxable, so make sure to set aside a portion of the grant for tax purposes and consult a tax professional. 

Types of small business grants

Grants exist on a federal, state, local, and corporate level for a wide range of purposes. Which grants your business is eligible for depends largely on its mission, products/services, and the makeup of your organization. While most grants offer monetary funding for business operations, etc., some provide business training and mentorship.  

The following are some of the most common grants available to new or established businesses:

• Federal business grants. Rather than provide grants directly to your business, the federal government provides third-party organizations with the financial assistance they need to support your business. For example, the Minority Business Development Agency redistributes federal funds to nonprofit organizations that promote the growth of minority-owned businesses.
• State business grants. State grants are similar to federal grants but on a smaller scale. For this reason, they may be easier for eligible small businesses to attain. The purpose of these grants is to stimulate the economy and promote community engagement in the state.
• Research and development grants. In most cases, federal agencies create these grants to support businesses that are researching or developing an innovative product, system, or service. Often, businesses involved in science, technology, healthcare, infrastructure, and education will receive these grants.
• Nonprofit and community development grants. Many grants exist for nonprofit organizations to address specific needs in a local or national community, either through capital funds or business development programs. Both federal agencies and private companies provide these grants. Alternatively, there are also nonprofits that have received federal grants that, in turn, offer grants to fund eligible businesses. 
• Industry-specific grants. Grants programs from both private and federal donors will often provide capital investment to qualifying businesses in a specific industry. This could range from agriculture to the arts, infrastructure, food and nutrition, law, transportation, and more.  
• Private business grants. Some large for-profit companies will also set aside money at the beginning of the fiscal year to fund grant programs. In many cases, these grants will focus on supporting a business relevant to that company, but not always. The amount, eligibility, and purpose of corporate grant projects can vary greatly. 

8 best small business grants for Black women in 2025

This list includes grants that offer the most amount of funding and support to the broadest range of Black women-owned businesses. It also includes a few that aren’t exclusive to people of color, but that either have a focus on diversity or a good grant package that’s worth applying to. 

While these grants are divided between men and women, both categories also include grants that could apply to either gender. It’s wise to skim through even if the category doesn't apply to you.

Women’s Entrepreneurship Program

The Minority Business Development Agency (MBDA) provides this federal grant to nonprofits that support minority businesses at all stages of development. The main focus is to address barriers facing female entrepreneurs by funding organizations that help them launch, sustain, and scale their ventures.

• Eligibility requirements. Applicants must be a private nonprofit organization whose primary activity is to offer services to minority business enterprises, whether through education, making grants or loans, or other similar activities.
• Amount offered. While the amount gifted to an individual organization will vary, the MBDA expects to set aside approximately $2 million for this multi-year program, divided across approximately five awards.
• Where to apply. Check out the Grants.org page on the Women's Entrepreneurship Program for more detailed information. 

The Amber Grants

WomensNet is a nonprofit that started the Amber Grants in 1998. The purpose was to honor the memory of Amber Wigdahl, a 19-year-old entrepreneur who died before realizing her business dreams. Since then, they've continued the tradition by giving grants to three women every month. Each month is divided into a category that focuses on a specific industry, so make sure you apply for the month that aligns with your business.

• Eligibility requirements. This grant is open to all women entrepreneurs.
• Amount offered. Each monthly grant offers $10,000 to three women. At the end of the year, three women will be selected from that year's winners to receive an additional $25,000.
• Where to apply. Go to WomensNet's Amber Grant page to find the right month for you and start your application.

HerRise MicroGrant

The Yva Jourdan Foundation offers these micro-grants every month to under-resourced women, including women of color entrepreneurs, across a variety of industries. Applicants have until the last day of the month to apply. The foundation committee then selects a winner and announces them at the next month’s HerSuiteSpot First Friday Mixer.

• Eligibility requirements. Applicable businesses must be 51% owned by women, currently registered in the U.S. with less than $1 million in gross revenue.
• Amount offered. $1,000
• Where to apply. Check out HerSuiteSpot's HerRise MicroGrant page for application details.

The Black Girl Ventures pitch program

The Black Girl Ventures Foundation is a nonprofit organization that supports underrepresented women entrepreneurs through a number of programs, including its pitch program. Rather than a typical grant process, this program is a crowdfunded pitch competition. Accepted applicants receive pitch coaching before presenting their two-minute pitch followed by a two-minute Q&A to a live audience who then votes with the dollars. The entrepreneur with the most votes (not dollars) wins.

• Eligibility requirements. Applicants must identify as underrepresented women. They must have a revenue-generating business that's in good standing. Ownership of the business must be at least 51% minority-women owned
• Amount offered. $30,000+
• Where to apply. Visit Black Girl Ventures' pitch program page for more information about the event and application process. 

Fearless Fund Pitch

The Fearless Foundation is a nonprofit organization that invests in early-stage, high-growth ventures founded by under-resourced individuals, such as women of color. They are looking for established businesses with a highly knowledgeable management team and clear business model and some customer traction.

• Eligibility requirements. Available to early-stage, under-resourced businesses with high growth potential.
• Amount offered. You ask for an amount that aligns with your stage of growth. The amount can't be larger than $3M. They also seek at least 10% ownership of portfolio companies.
• Where to apply. Go to Fearless Foundation's Pitch page for a closer look at their qualification criteria and information on how to apply. 

Sephora Accelerate

Sephora is an international beauty retailer with stores located all across North America. They developed their Accelerate program to uplift innovative beauty brands aiming to break into the industry, specifically people of color. The aim of their grant is to diversify brands in the beauty industry to represent all of "the colors, races, and ethnicities that make up the Americas."

• Eligibility requirements. Applicants must be North America-incorporated beauty brand owners, 18 years or older. Their brand must be in an early stage and not yet widely distributed.
• Amount offered. Rather than a monetary gift, this grant offers a six-month business booth camp. During that time, grantees receive mentorship from industry leaders and gain access to a wealth of resources to boost their brand.
• Where to apply. Sephora's Accelerate page offers more details on the grant and how to apply.

The Halstead Grant

Halstead is a jewelry supplier with over 50 years in business. Their Halstead Grant is another industry-specific grant specifically for jewelry entrepreneurs striving to launch their business. The purpose of their grant is to help emerging jewelry artists kick-start their business with both financial support and mentorship.

• Eligibility requirements. Applicants must be up-and-coming jewelry designers working primarily in silver.
• Amount offered. The grant winner receives $7,500 cash and a $1,000 gift card to their supply store. Finalists also receive $1,000 cash prizes and $250 gift cards.
• Where to apply. Halstead describes the grant application process in depth on its website. 

ComcastRISE

ComcastRISE was started in 2020 to aid small businesses affected by the COVID-19 pandemic. Now, they’ve shifted their focus more towards supporting business growth with a continued focus on diversity and community investment. Keep an eye on their website for when the next round of grants begins. 

• Eligibility requirements. Applicants must be 18 years or older who own an established business that has operated for at least three calendar years. The business must be located in Atlanta, GA, Houston, TX, Jacksonville, FL, Richmond, VA, or Southern Colorado.
• Amount offered. $5,000 plus business consultation, a technology makeover, and media support.
• Where to apply. Check out ComcastRISE’s FAQ page for more detailed information on eligibility requirements and how to apply. 

8 best small business grants for Black men in 2025

Similarly to the list of grants for Black women-owned businesses, the selection also prioritizes grants that offer the most support and funding to the widest range of businesses. Some of the grants or databases aren’t exclusive to people of color, but are still worth applying to for their supportive grant package or focus on diversity. 

While these grants are divided between men and women, both categories also include grants that could apply to either gender. Particularly, this section recommends grant databases that Black women can also benefit from exploring. 

Grants.gov

Grants.gov is a database for federal grants that the U.S. Department of Health and Human Resources created to connect federal agencies with applicants and streamline the grant process. Grants.gov is a great resource to research a wide range of industry-specific federal grants. Although many only apply to nonprofit and educational institutions, some grants to for-profit small businesses exist to make an impact in a specific industry.

• Eligibility requirements. Requirements vary by grant.
• Amount offered. Award amounts vary.
• Where to apply. Go to Grants.org and customize the search settings to apply to your business.

State Business Incentives Database

The State Business Incentives Database is a great resource to explore what grants and other similar programs are available in your state. To access the database, you need to become a Council for Community and Economic Research member. However, the resources they offer make it worth taking the extra time to sign up.

• Eligibility requirements. Requirements vary by grant.
• Amount offered. Award amounts vary.
• Where to apply. Go to StateIncentives.org to explore what grants are available for small businesses in your state. 

1 Million Black Businesses Initiative

Operation HOPE has partnered with Shopify and numerous government and private organizations to create the 1 Million Black Businesses (1MBB) Initiative. The goal is in the name—to start, grow, and scale a million Black businesses by 2030. To accomplish this, they've created an eight-week business-development workshop that includes mentorship programs and access to capital funding resources.

• Eligibility requirements. Available to entrepreneurs and new or existing small business owners within the Black community.
• Amount offered. Although this isn't a monetary grant, access to business development workshops, mentorship, and assistance in securing capital could be far more valuable than a direct deposit.
• Where to apply. Go to Operation HOPE's 1MBB Initiative page for a more detailed description of the program and application details.

National Black Business Pitch

The National Black Business Pitch (NBBP) is sponsored by Women's Business Enterprise Council West in cooperation with a few other corporate partners. Essentially, NBBP is a competition that connects Black-owned businesses to corporate backers. It consists of two phases. The first phase is an application process from which a panel of judges will choose 30 finalists. In the second phase, finalists pitch live to a virtual audience of corporate procurement and supplier professionals. Only three companies are eligible for the prize, but all 30 will gain important exposure for their business.

• Eligibility requirements. Applicants must be a U.S. Black-owned, founded, or controlled business.
• Amount offered. Three companies will receive up to $10,000.
• Where to apply. Apply through the NBBP's website.

Minority Business Entity (MBE) Center for Accelerated Growth, Innovation, and Resiliency

National Minority Supplier Development Council (NMSDC) offers a number of programs to help minority business enterprises develop and thrive. As part of their Capital Readiness Program, the MBE Center for Accelerated Growth, Innovation, and Resiliency is an initiative designed to connect MBEs with key resources, networks, mentorship, and access to funding.

• Eligibility requirements. This program is available to all minority business owners
• Amount offered. The amount varies.
• Where to apply. Check out both the webpage for this program as well as NMSDC's Access to Capital Resources page. 

Lenovo Evolve Small initiative

Multinational tech company Lenovo created the Lenovo Evolve Small initiative in partnership with Microsoft and Intel. Their mission is to equip small businesses with the support they need to leverage technology to grow their business.

Small businesses in North America (U.S. and Canada, excluding Quebec) that have an annual revenue of less than $7.5M and 75 or fewer employees are eligible to apply.

• Eligibility requirements. Available to North American businesses (excluding Quebec) with an annual revenue of less than $7.5M and 75 or fewer employees.
• Amount offered. Selected applicants receive a $25,000 grant, a customized AI technology package, and access to mentorship programs.
• Where to apply. Visit the Lenovo Evolve Small initiative page for information on the program and application process.

Digitalundivided Breakthrough program

Digitalundivided is a nonprofit organization that created its Breakthrough program with sponsorship from JPMorgan Chase & Co. The program offers selected business founders both funding support and business development support, such as marketing strategies, mentorship, and networking opportunities to grow their ventures.

• Eligibility requirements. Applicants must be 18 years or older and have majority ownership in a business registered for at least a year that generates a minimum of $50,000 annual business revenue. The business must also have a technology component, such as a website or mobile app.
• Amount offered. $5,000
• Where to apply. Go to Digitalundivided's Breakthrough page for more information on the grant and how to apply.  

NAACP grants 

The National Association for the Advancement of Colored People (NAACP) partners with several organizations to offer grants to Black-owned small businesses. The programs often offer both funding and resources to help Black entrepreneurs scale their ventures. They’re a great resource to check in on for grants that are available to your business. 

• Eligibility requirements. Requirements vary by grant.
• Amount offered. Award amounts vary.
• Where to apply. Check out the NAACP’s grants page for information on available programs.

How to apply for a small business grant

While every grant is different, there are some best-practice steps to help you navigate the process.

Step 1. Create a list of relevant grants

Rather than applying one at a time, it's helpful to first conduct a broad search of what grants are available to your business. Look at databases such as Grants.gov, the Small Business Administration, the Minority Business Development Agency, and the State Business Incentives Database.

Many corporations and nonprofits also offer grants to support Black-owned and other minority small businesses, so don't limit your research to government sites. Take notes and create a list of the most relevant grants. Grant applications can take quite a bit of time. Having a clear picture of what grants you plan to apply for can help streamline the process.

Step 2. Double-check eligibility requirement

Eligibility criteria for grants can be either broad or highly specific. Taking the time to read the fine print of every grant description will save you time in the long run if it ensures you don't waste time on an application that your business doesn't actually qualify for.

Step 3. Prepare the required documentation

Each grant application will also have its own list of required documents. Gathering these before you start the application can help facilitate the process. Typically, this will include financial statements, proof of revenue over a fixed period of time, and a business plan. Some grants might also ask for your employer identification number (EIN) and other identifying information.

Step 4. Tell your business’ story

This is perhaps one of the most important parts of the grant application process. How you pitch your business will determine whether or not your application stands out among hundreds, sometimes thousands, of others. Be detailed about what you aim to achieve if your business receives this grant. Revise what you've written, and then ask people you respect to revise it further.

Step 5. Submit your application

When you feel well prepared, submit your application. Each grant will have its own application process that will typically be outlined in the application package. Federal grants, for example, tend to be longer and more complex. Follow the instructions carefully and review one last time before officially submitting. While applying may feel overwhelming at first, it gets easier with time as you become more familiar with the process and more familiar with articulating your goals. 

Step 6. Follow up (if necessary)

Most grant providers have their own communication policies. Carefully read the grant description for information on their response timeline. Grants can take anywhere between a few weeks to several months to process. If you haven't received a response passed the specified period, you may choose to send a polite email asking for an update.

Whether or not you receive the grant, you may also respectfully ask for feedback on your application to learn how you can improve your future approach. 

Business grant vs. business loan: How are they different?

Both grants and loans can help your business get vital funding. The main difference is that grants are (typically) freely awarded to select businesses to support a particular goal, while any qualifying business can receive a loan. However, loans need to be paid back (with interest). Another key difference is that grants can offer capital funding, business training, or both, while loans are solely a monetary investment.  

FAQs

What are some other types of funding for Black-owned businesses?

Other types of funding opportunities for Black-owned businesses include the following:

• Loans/micro-loans
• Tax credits
• Equity financing 
• Crowdfunding

Do you have to pay a small business grant back?

Typically, no, you don't have to pay back a small business grant. However, many federal grants come with a project that needs to be fulfilled to satisfy the grant.

How much is the average small business grant?

The amount of small business grants varies by the scale of the project. In this article, amounts ranged from $1,000 to around $30,000. However, federal research grants, for example, can be over $1 million. 

Is a small business grant taxable?

Yes, a small business grant is usually taxable income that needs to be reported as part of your gross income.  

What can a small business grant be used for?

What you use a small business grant for will depend on the nature of the grant and your business. Many federal grants will outline a specific project—such as research or community development—that they are funding you to carry out. Alternatively, nonprofit and corporate grants can exist to help your business access funding to grow your business, such as marketing, operational expenses, training, and expansion.