Minority small businesses can now pursue up to $100,000 in grants through the Houston Equity Fund.
Some $8 million is being offered to businesses owned by people of color and nonprofits during the latest phase. According to Houston Public Media, the “Open For Business” grant program is being financed by Wells Fargo and run by the Houston Fund for Social Justice and Economic Equity.
Applications are set to open from May 15–31 here, with those applying seeking awards running between $5,000 to $100,000 each.
The financial backing comes as securing financing to help start or grow businesses remains an ongoing problem for many establishments, including Black-owned businesses. The challenges have risen recently due to high inflation, COVID-19, and other headwinds. Those conditions have forced many Black businesses to close, create new strategies to rebound, and examine other approaches to grow and survive.
The new grants in Houston may be used for several purposes, including purchasing land and making improvements, building construction or renovation, buying inventory, machinery, and equipment, and technology and improvements, and modernizing landscaping, parking lots, and more.
Thomas Jones, board president for the Houston Fund for Social Justice and Economic Equity, also called the Houston Equity Fund, said, “We are committed to bridging the economic gap in our city by supporting Houston’s underrepresented and underfunded minority-owned small businesses and nonprofit organizations.”
To qualify, businesses and nonprofits must be within Houston’s city limits and established before Dec. 31, 2021. The eligible businesses must be “mission-aligned” and “diverse-owned” with 100 or fewer employees and no more than $3 million in gross revenue in 2022.
The second funding phase comes after the Houston Fund for Social Justice and Economic Equity awarded $5 million in grant money last year to local small businesses and nonprofits.
It was disclosed grant recipients during the first phase are ineligible for funding during the second phase, yet they can apply for more as part of the third phase next year.