Everybody wants to live the American dream, including the ethnic minority such as Hispanic in the heterogenic society of the US. To accommodate the desire there is Hispanic minority grants and another small business grant for minorities.
Having a good business plan is one thing but not having the fund to kick-start your business can ruin your dream of having a decent business. Therefore you should consider looking for the minority grant as a very great solution for the problem as we know that the government allocated millions of dollar annually for these kinds of grants.
It is certainly not going to be easy, there is a lot of competition and patience are really needed because the grant-hunting process can be really long and tiring. However, one thing we can say that all the effort and time you spend will be worth it once you get the grant.
How to Get Minority Grants for Small Business
Here are the steps to get the minority grant for small business:
Online research
The very first thing you do when you are looking for a grant is to do some online research. You can use variety of search engine in the internet such as Google, Yahoo, or MN. But be sure to filter the result through because the internet will spit on literally millions of search result.
You also have to beware on the scam among the websites that offer you information. Makes sure you don’t give any money or personal and financial information through a website because it is likely to be a scam. Legitimate information usually come free like what you can find in this website: www.sba.gov.
That’s is the address for official Small Business Administration’s website that provide information in relation to small business grant. You can search through the website for Hispanic minority grants by using the filtering tools to find a specific grant.
Contact Potential Funder
In the www.sba.gov you can also find a direct link for “contact” of the potential funder to get more information about the grant. You might also find the application to apply for the grant right away.
Complete grant application.
Once you found a grant or more that suit you and your business the next step will be to complete the application and submit it to the funder. There are some points that usually asked for the application:
- Proof or information of your household income
- Identity information, confirming that you’re in fact a minority
- Business plan: information regarding to your business
- Any past grant received
- Business’ operating cost
- And so on.
Be honest and careful when completing the application; review it before finally submitting it.
Applying for more grants
There no limitation on how many grant you can apply so apply for as many grants you can to increase the chance of getting selected for one of them. You can more information about grant at www.Grants.gov, government’s official website for government’s grants.
Be patient and relentless
The process can be long and tiring and you might get rejected for one or two first grant application. Don’t give up, because maybe the next is yours.
Examples of Hispanic Minority Grants
Over the past decade, the number of Hispanic-owned businesses in the US has increased by 34%, contributing over $500 million to the economy. The growth rate was particularly notable from 2019 to 2020, with Hispanic-owned companies expanding by 8.2%. This trend highlights the increasing diversity of business ownership in the United States.
Minority-owned businesses make up around 20% of all businesses in the country, with Hispanic-owned businesses leading this demographic. Despite their rapid growth, these entrepreneurs often face challenges in accessing funding.
To address this issue, various organizations and government agencies have been established to provide support to Hispanic and minority business owners through loans, grants, and other financing options. Here are such entities that can offer assistance.
The National Association for the Self-Employed (NASE)
NASE may not specifically focus on Hispanic-owned businesses. But it aims to support all self-employed enterprises, including many owned by Hispanics. The NASE offers valuable resources, including Growth Grants worth $4,000 each, to assist its members.
To date, the NASE has distributed over $1 million in grants to address various business needs. Small businesses with NASE memberships can benefit from a range of resources. For example, discounts, expert advice, and support in obtaining health insurance.
The Small Business Administration (SBA)
SBA offers a range of services and programs to assist Hispanic and other minority businesses in securing funds. One significant avenue is the opportunity to access microloans and Community Advantage loans, which can be applied for through SBA Lender Match.
Another notable SBA initiative is the 8(a) Business Development program. It connects Hispanic business owners with set-aside and sole-source federal contracting opportunities. For more than nine years, the SBA has aimed to allocate at least 5% of its annual 8(a) funds to personals from underserved communities.
USDA Rural Business Development Grants
Hispanic-owned businesses situated in rural areas of the United States might find USDA Rural Business Development Grants to be a valuable option. These grants, available in different sizes, support small businesses with fewer than 50 employees in eligible locations.
Approved grants can be utilized for various purposes, including: training, technical assistance, land acquisition or development, building construction or renovations, equipment purchases, pollution control, community economic development, and more.
The Latino Economic Development Center (LEDC)
LECD plays a crucial role in assisting businesses in Puerto Rico and the Washington, D.C./Baltimore. As a certified community development financial institution (CDFI), the LEDC provides loans ranging from $1,000 to $250,000 with favorable interest rates starting at 6.5% and no hidden fees.
Since its establishment in 1991, the LEDC has been committed to standing with Latino populations with low-to-moderate incomes, as well as other underserved demographics. They work by aiding eligible people in achieving financial independence and leading their communities.
Camino Financial
Headquartered in Los Angeles, Camino Financial is a financial firm with a mission to assist small businesses in securing straightforward, cost-effective loans. Sean Salas and Kenny Salas as the Co-founders, established Camino with the aim of supporting business owners.
Camino provides all the services in English and Spanish, catering to business owners regardless of their background. The organization offers three distinct funding options — startup, micro, and small business loans — specifically designed for businesses that have faced challenges in obtaining loans from other sources.
Those are all about the hispanic minority grants. What you need to do is to keep trying to get what you need. For Muslims, we think that it is better to avoid any loans, since it is Riba!
References:
- How to Obtain Small Business Grants for Minorities – https://bizfluent.com/how-5046936-obtain-minority-business-grants.html#ixzz2Q3id9lab
- Images: hispanicgrants.net, northstarstem.org, philabar.org
