9 Top Grants for Growing Black-owned Businesses in 2025

According to the Alliance for Entrepreneurial stake, only 2.5% of American businesses are Black-owned. Its State of Black Business update also found that Black-owned businesses earn less turnover and hold more obligation than businesses owned by other demographics. Systemic issues like unequal access to financial back perpetuate these inequities, as they make it challenging for Black-owned businesses to both get started and expand.

Grants for Black-owned businesses can assist level that playing field. A number of nonprofit organizations and for-boost companies propose tiny business grants for Black-owned businesses operating in the United States. Many grant programs even include business advancement resources to assist set up Black-owned businesses for achievement.

As you seek out grants, keep in mind that they are not always well publicized, may have short application windows, and might not always be available year after year. You can discover about more opportunities by networking with fellow tiny business owners and tapping resources from organizations like the NAACP, Hello Alice, America’s tiny Business advancement Center Network, and National Minority Supplier advancement Council.

Read on to discover more about accessing a variety of capital opportunities and grants for Black-owned businesses.

9 grants for Black-owned businesses

1. 1 Million Black Businesses Initiative (1MBB)
2. aspiration Local Empowerment Program
3. HerRise MicroGrant
4. Galaxy Microgrants
5. Kinetic Business Black Business back pool
6. National Black Business Pitch (NBBP)
7. Sephora Beauty Grant
8. BlackGirl Ventures Pitch Program
9. Lenovo Evolve Grant

Applying for tiny business grants is a rigorous procedure. Grant applications involve steps like assembly documentation (e.g., levy returns, lender statements, turnover records), polishing your strategy document, and making sure you’ve read and followed each grant program’s eligibility requirements. The excellent information is, once you’ve assembled one grant application, it becomes easier to revise as needed whenever you apply for other grant opportunities. 

Let’s receive a look at several upcoming grant capital opportunities for Black-owned businesses that could advantage your own business in 2025. 

1. 1 Million Black Businesses (1MBB)

Since its launch in 2020, the 1 Million Black Businesses initiative (1MBB) has helped more than 459,000 Black-owned tiny businesses to launch and develop.

Participants in this Black businesses grant program get: 

• Access to an eight-week tiny business advancement workshop
• Connection to mentors from Shopify, Intuit, and Aprio
• Assistance with securing capital apportionment for their businesses

Any Black business owner can enroll and immediately boost access to 1MBB’s vast library of business advancement courses. The initiative is run by nonprofit Operation aspiration with associate Shopify, which made a 10-year pledge valued at around $130 million. The collaboration aims to assist commence and develop one million Black-owned businesses by 2030.

2. aspiration Local Empowerment Program

Ecommerce platform aspiration Local created a $2 million pool to issue $500 to $2,000 aspiration Local Empowerment grants to Black-owned brick-and-mortar tiny businesses. To qualify, you’ll require to be a Black business owner with fewer than 20 employees, a brick-and-mortar storefront, and an average annual turnover under $1 million. 

You can use the funds however you’d like, but you’ll require to become a aspiration Local vendor in swap for receiving the grant. Becoming a aspiration Local vendor means your store will become a pick-up location for orders placed via aspiration. 

Like all excellent partnerships, this agreement is likely to advantage both businesses: aspiration Local can attract more customers in your area with a recent pickup location, and using your shop for order pickup will bring more foot traffic to your store, which could boost sales as well as brand recognition. 

3. HerRise MicroGrant

Every month, the women-led professional advancement organization HerSuite distributes a $1,000 HerRise MicroGrant to a business owned by a woman of color. To be eligible, you must submit your application by the complete of the day on the last day of the month. 

If you’re a Black woman with a tiny business that earns less than $1 million in annual turnover each year, you may qualify for this microgrant. The application will request basic business details like your annual turnover and industry, then inquire questions about what problems your business solves and how you schedule to use the grant money.

4. Galaxy Microgrants

Galaxy of Stars and the nonprofit Hidden Star, both supporters of women and minority tiny business owners, are distributing a Galaxy grant giveaway of $2,750 in 2025. 

In order to apply for the microgrant, Galaxy of Stars requires you to join its platform as a member. The application procedure is brief: Simply fill out basic information like contact details, ethnicity, and whether you are a current or upcoming business owner. 

5. Kinetic Business Black Business back pool

Through its Black Business back pool, internet provider Kinetic Business offers grants of up to $2,500 to Black-owned tiny businesses. 

To qualify for a grant, your business must operate in their service area, which covers a wide swath of the Midwest and Northeast. You’ll require to employ fewer than 25 staff members and be a for-boost business. There are also a few restrictions on eligible industries—for example, liquor stores and gun shops can’t apply for this grant.

6. National Black Business Pitch

The National Black Business Pitch (NBBP) competition aims to connect winners with corporations who desire to expand their supply chain or product offerings. Each year, three NBBP winners earn $10,000 in liquid assets. 

Black business owners must complete an application and film a three-minute video about their business. Both parts of their submission are reviewed by judges from corporate supplier backgrounds. Applicants that pass this first round then now their pitch in front of a virtual spectators for the chance to be chosen as one of the three winners. 

Applications for the 2025 competition open in February and close in June.

7. Sephora Beauty Grant

Black-owned beauty businesses are eligible to apply for a whopping $100,000 grant sponsored by Sephora and the Fifteen Percent Pledge. 

To qualify for the Sephora Beauty Grant, your beauty business must have been operating for more than a year, earning $100,000 in annual turnover. The application window is typically four weeks long and opens annually in October.

8. Black Girl Ventures Pitch Program

Black Girl Ventures aims to assist women founders from underrepresented backgrounds develop their businesses. 

The organization’s annual pitch program is a distinctive competition that melds traditional pitching with crowdfunding: Applicants develop a three-minute pitch, receive coaching to fine-tune their pitch, then now their pitch at a livestreamed occurrence. Competition results are decided by spectators votes. 

You must be a Black woman with a business currently valued at less than $1 million to be eligible for this competition. Winners receive liquid assets prizes as well as networking opportunities. Application deadlines vary by city.

9. Lenovo Evolve Grant

The Lenovo Evolve Grant rewards minority-owned businesses, disabled-owned businesses, and women-owned businesses. Grant winners receive $25,000, access to mentorship programs, and technical assistance to enhance and develop their companies. For the 2025 edition of the prize, Lenovo will also assist tiny businesses owners incorporate AI into their companies. 

This grant has distributed $3.6 million over the history four years. Applications have yet to open, but you can sign up to receive a notification when they do. 

5 types of tiny business grants

1. Unrestricted grant
2. Grants for specific use
3. Grants as a workshop or incubator
4. Pitching competitions
5. Grants through services

Grants can receive many forms. Beyond liquid assets prizes, some grants propose business advancement assistance as well. 

Get to recognize some of the most ordinary types of tiny business grants below.

1. Unrestricted grants

Businesses that earn unrestricted grants can use their prize money any way they aspiration—no strings attached. For example, a business might opt to use their prize money to hire recent employees, while another might use it to develop a recent product.

2. Grants for specific use

Businesses must invest specific use grants into an facet of their business determined by the grant-giving body. For example, a business might triumph $15,000 with the expectation that they’ll use that money to reduce their carbon footprint or complete a social impact assignment within an agreed-upon timeframe.

3. Grants as a workshop or incubator

Many foundations and agencies distribute grants alongside opportunities for networking or mentorship. For example, you might triumph a place in a tiny business cohort or earn a spot in a series of business advancement programs. 

4. Pitching competitions

Pitching competitions are a great way to get your business off the ground. Prize money is awarded to entrepreneurs who now savvy business pitches to community or private audiences. These grants might be in the form of liquid assets, capital apportionment resource, or both.

5. Grants through services

Grants can receive the form of free services received, such as $5,000 worth of marketing assistance, technology expansion, or legal services. For example, a for-boost technology business might provide their services for free to grant winners.

Other capital opportunities for Black businesses

In addition to applying for tiny business grants, Black business owners can discover capital opportunities in the form of loans from a variety of sources. 

💸recall: Loans are not the same as grants. With loans, you consent to a payback schedule that typically includes yield costs. Meanwhile, grants are considered a gift you’re not required to repay. 

Here are a couple of those tiny business financing options to consider. 

Government capital

Black business owners can utilize resources from federal government agencies like the Minority Business advancement Agency and the tiny Business Administration. For example, the Minority Business advancement Agency can provide you with financial assistance and coaching to commence and develop your business. The tiny Business Administration can propose those services as well. Their tiny Business innovation Research and tiny Business Technology Transfer arm offers a seed pool that can assist you turn innovative scientific ideas into commercial enterprises. 

Many state agencies also provide resources to minority business owners, so it helps to check out your state’s website for capital options in your area. Just keep in mind that government assistance will be in the form of loans, not grants. State and federal grants are available only to organizations like nonprofits, not for-boost companies. 

Shopify capital apportionment 

Looking to commence or scale your ecommerce business? Shopify can assist. 

Since 2016, Shopify capital apportionment has distributed more than $5 billion in business capital that’s supported the growth of thousands of ecommerce businesses on the platform. Whether you require to invest more in marketing, operations, inventory, or something else, Shopify capital apportionment makes both the capital and payback processes more accessible.

discover more: 8 Ways Shopify capital apportionment Can assist develop Your tiny Business