How much funding does BEA Entrepreneurs Fund provide?

BEA Entrepreneurs Fund provides $50,000,000 in funding.

When is the deadline for BEA Entrepreneurs Fund?

This grant has a rolling deadline or the deadline has not been announced.

BEA Entrepreneurs Fund

BLACK ECONOMIC ALLIANCE

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Funding Amount

$50,000,000

Deadline

Rolling / Open

Grant Type

foundation

Overview

BEA Entrepreneurs Fund

Status: Active (launched May 20, 2021)

Amount: $50 million evergreen investment fund

Focus Areas:

Seed, start-up, and early-stage capital for Black-owned businesses

Support for Black entrepreneurs and business owners

Closing the racial wealth gap

Geographic Scope: Nationwide (all interested and eligible Black entrepreneurs across industries)

Eligibility:

Black entrepreneurs and business founders

Emerging business founders

Alumni from historically Black colleges and universities (HBCUs)

Students

Participants in programs that focus on Black business development

All interested and eligible Black entrepreneurs across industries nationwide

Investment Structure:

Equity via convertible debt (equity stake in exchange for seed capital investment)

Straight loans to Black start-up businesses

100% of returns recycled to support ongoing operations and additional investments

Key Features:

Evergreen fund structure for long-term sustainability

Anchored by Wells Fargo with $20 million commitment over five years

Competitive application process for investments

A portion of the fund earmarked to invest in Center for Black Entrepreneurship (CBE) participants

Background:
The fund was created in response to documented disparities in venture capital access for Black entrepreneurs. Studies show Black founders received roughly 1% of venture capital financing before 2020, and only approximately 3% of the $147.6 billion venture capital deal volume in 2020 went to Black-founded companies. Federal Reserve data (2020) showed only 26% of Black business owners received full financing they sought from banks, compared to 54% of white business owners.

Contact/More Information: https://foundation.blackeconomicalliance.org/bea-entrepreneurs-fund/

How to Apply

Application Process

Application Status: Competitive application process expected to begin after fund launch (late 2021)

Key Application Details:

Once the BEA Fund begins investing, it will accept applications from all interested and eligible Black entrepreneurs across industries nationwide

Applications submitted through competitive process

All investments made available via competitive application process

Eligible Applicant Types:
1. Emerging business founders
2. Alumni from historically Black colleges and universities (HBCUs)
3. Students
4. Participants in programs that focus on Black business development
5. All interested and eligible Black entrepreneurs across industries nationwide

Note: Specific application materials, forms, narrative questions, and detailed submission procedures were not available in the provided documentation. Applicants should visit the fund website for current application details and requirements.

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