Understanding the financial obstacles Black entrepreneurs face, Chichi Eburu, the founder of beauty brand Juvia’s Place, is giving away six $50,000 grants to Black-owned businesses in the U.S.
“I, like so many others, didn’t have access to lending, or a trust fund. My business was built with minimal financial resources, but I had a supportive community to lean on. That community support was essential to my business growth. I found mentors and customers that believed in my product, and helped to make my dream a reality. I appreciate the support, and want to make sure I can provide an opportunity to other Black entrepreneurs who are looking to grow their businesses,” said Juvia’s Place Founder, Chichi Eburu.
According to SCORE, the nation’s largest network of volunteer, expert business mentors, 44 percent of Black small business owners use cash to fund their business, compared to 37 percent of the average small business owner. The most popular funding sources for African-American business owners are friends and family, lines of credit, unsecured loans and rollovers for business start-ups, most of which lead to amassing debt at high interest rates. Black female entrepreneurs face even greater challenges. Black women in the U.S. are starting businesses at a faster rate (12 percent growth rate per year) than other groups (8 percent growth rate per year). That being said, the average yearly revenue for Black female entrepreneurs is only $24,000 versus $142,900 for non-Black female entrepreneurs.
The six $50,000 grants funded by Juvia’s looks to eradicate many of the challenges faced by Black entrepreneurs. To apply, companies must meet certain criteria, including being Black-owned, a U.S. resident or U.S. citizen, the business must be headquartered in the U.S., and 2019 business gross income must be between $1,000 and $250,000. To apply for the grant, click here.