Available Business Loans and Grants for Minority-owned Businesses
- July 9, 2020
- Posted by: email@example.com
- Category: Business, Loans
People are at a loss of words due to the overwhelming past few weeks. Several people wish to offer help but are not exactly sure where to begin. It is a dilemma that a lot of folks are going through when it comes to showing support to black and minority-owned businesses.
George Floyd’s murder has left Americans and the world speechless. However, the protests and demand for justice continue to spark a ray of hope for people who believe in liberty, freedom, and equality. Conversely, the pandemic is making the circumstances more physically and emotionally exhausting for minority-owned businesses.
And right now, you can show your support to minority, and black-owned businesses that are dealing with the surge of the pandemic spread and maintaining high spirit amidst BLM protests. Whether its community efforts, donating to small local businesses, or nonprofits, you can make a difference.
What about PPP Access?
Despite what you may have heard, only 12% of Latino and black-owned businesses that applied for Paycheck Protection Program (PPP) loans did receive the stated amount. However, a survey shows that most of the minority-owned businesses did not get the sum they should have beforehand.
Is PPP Enough?
Practically, nearly half of minority-owned businesses expect to close their entities permanently in the coming months. That said, the PPP program was, in fact, the first business grant and loan initiative geared towards black and brown business communities.
It may not sound optimistic, but several banks took into consideration applications of just existing customers. Nonetheless, the PPP program is far from a permanent solution for minority-owned businesses.
Expect More Relief Packages
A new relief package for minority-owned businesses, for instance, would be a big help to pull back the American economy from the current recession. Furthermore, women-minority business owners have had to face most challenges throughout the coronavirus-related lockdowns.
Although there are some relaxed guidelines, most of the minority-owned businesses are at a disadvantage to avail the necessary grants or loans. In fact, as per the current estimate, at least 90% of businesses owned by black and brown owners will probably face closed doors of the Paycheck Protection Program (PPP).
Complicated Application Process
The required documentation from minority-owned small businesses to get the forgiveness amount is quite complicated. It means black and brown small businesses that do not have direct access to a competent lawyer, tax expert, or accountant face more challenges.
Moreover, several minority-owned businesses fail to understand the technical details of the PPP program. Realistically, the application process should not be a form of discouragement for black and brown business owners. It should be simple enough to influence others to get help.
Chez Nous Guide
It is a resourceful website for people who want to voluntarily show some financial support to businesses or organizations run by marginalized communities. What is interesting is that you can find LGBTQIA and BIPOC-owned organizations easily.
In fact, from London to Los Angeles, you can find the black, indigenous, or people of color business that you want to donate. Apart from looking at minority-owned businesses, black and brown communities often look for job opportunities on Chez Nous through several search filters.
Interestingly, just last week, Chez managed to add up to 200 black-owned small businesses on the website. And if you still cannot find a business that you can donate, take a look at the Support Black Owned, which includes a comprehensive list of thousands of small and medium-sized black-owned businesses throughout the country.
There are several apps you can download on your smartphone if you want to search for more minority-owned businesses. Eatokra, for instance, is a great app dedicated to finding local black-owned eateries in cities such as Los Angeles, San Francisco, New York, St. Louis, Philadelphia, and many more. Also, Black Nationalists black-owned organizations where you can show your support too.
Donate to Minority-Owned Bars and Restaurants
Many celebrated brown and black-owned businesses were brought to their knees after COVID-19 lockdowns. Furthermore, the subsequent orders to stay indoors became a major problem for minority-owned businesses.
Comparatively, businesses that are run by people of color are experiencing more financial distress. You can donate by purchasing gift cards. It is a safe and effective way to show your support to minority-owned businesses.
For instance, app developers are simplifying the ordering process for black-owned restaurants. Similarly, accountants are showing support by providing tax expertise to black and brown-owned businesses with nominal charges.
So, show your support via donations when it matters the most, become an ally to people of color, and continually strive for more learning experience. And not just in this moment, but always.
Hold Big Corporations Accountable
It is laudable that most of the renowned brands are showing their support for minority-owned businesses. However, it is up to the American people to spot the hollow display of public messages that don’t amount to anything meaningful.
The right corporate message should result in measurable actions. For instance, there is more need to have a plan of action for a diversified workforce. Corporations can have a strategic and diverse approach to hire more black and brown talented individuals through black-owned businesses.
Despite the strong ethical response from corporations on the promise to support black business communities, the US business force will inevitably consist of minorities in the next 20 years. Therefore, it financially makes sense to have a diverse hiring approach among corporations as a positive stepping stone.
What Else Can You Do?
The protests to call for equality and justice will continue. Your goal should be to sign more online petitions, call your elected local representative, and donate as much as you can to minority-owned businesses.
Remember, the fight is also yours to thwart systemic racial injustice and inequality that jeopardizes the future of black and brown-owned businesses. You can show your commitment by donating or investing in a locally owned black business.
If you are having a hard time deciding on a minority-owned business, head over to Twitter, and search for the trend “black-owned businesses” to find more spots that may not be on your radar. In fact, you will find a multitude of tweets in support of black-owned businesses.
It would serve as a great source of inspiration to do your part. Simultaneously, you can encourage others to check out apps or insightful resources to help black and brown local businesses. Furthermore, you can change your consumer habits and purchase from minority-owned businesses.
It is vital that people look out for minority-owned businesses in tumultuous times. The support for one another will bring local business communities together. In fact, this is the path that would result in normalcy for black and brown-owned businesses that deserve your undivided attention more than ever.
The truth is that it is a win-win situation for people who want to see their local communities move past century-old racial inequality that does not grant the same business advantages to minority and black-owned businesses.
Also, bring the applicability of new loans or grants to the attention of minority and black-owned businesses that might not be aware of the strings attached or complicated process to get the money. Besides, if people fail to do something right now, there will be a generation of black and brown business owners whose impact will echo throughout the country’s economy.