Black Businesswomen Can Seek Grants Worth $100K From Block Advisors By H&R Block

A new grant program aims to help close the funding and support gap for women-owned small businesses.

Black female entrepreneurs could be among the recipients of $100,000 in combined grants through Block Advisors By H&R Block for women small business owners.

This is the first time H&R Block’s small business unit, Block Advisors, has offered this funding. Raising capital remains an obstacle for many Black businesswomen trying to start up or expand an enterprise.

Called Fund Her Future, the program calls for five women-owned small businesses to receive grants. One grand prize winner will receive $50,000; four finalists will receive $12,500 each. All grant recipients will gain access to a year of small business services from Block Advisors. Those interested can apply through May 26, 2024. Women-led small businesses that promote inclusivity and can demonstrate community impact are especially encouraged to apply.

The much-needed funding could be very useful. According to a news release, the most recent data from Block Advisors’ Small Business Resilience Series survey reveals that “31% started their business within five months of considering it, 9% more than non-women.” However, “they were more likely to make less money and be declined for a loan than their counterparts—and the disparities were even greater for small business owners of color.”

The initiative aims to help close the funding gap for women’s businesses. That is critical as Black women founders reportedly have $24,000 in annual revenue, roughly six times less than all women-owned businesses. Data show that 61% of Black women rely on their capital to finance a new business.

Industry observers are questioning how long the crisis can continue if Black women owners continue to face obstacles to access financing, including bank loans, venture capital, and investor-backed aid, among other capital stacks.

“Over the past five years, women-owned businesses have grown at nearly double the rate of men-owned businesses,” said Jamil Khan, chief strategy and small business officer at H&R Block.

She added, “Despite being one of the fastest-growing segments of the small business space, women-owned small businesses continue to experience a funding and support gap compared to their male counterparts. Announcing the grant program to kick off National Small Business Month will hopefully illuminate this disparity.”

See more details about the program here.