Beauty Packaging Staff08.14.20
Black-owned cosmetics brand, Juvia's Place, is giving away a $50,000 grant to six Black-owned businesses in the U.S.
"As a Black-owned business, I understand first-hand the financial obstacles Black entrepreneurs face. I started Juvia's Place with just $2,000 and a dream. 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.
Challenges that Black Small Business Owners Face
According to SCORE, 44% of Black small business owners use cash to fund their business as compared to the average small business owner (37%). The most popular funding sources for African-American business owners are:
Most of these sources require Black entrepreneurs to amass debt at high interest rates. These debt traps can kill a business before it even gets started. Black female entrepreneurs face even greater challenges. Black women in the U.S. are starting businesses at a faster rate (12% growth rate per year) than other groups (8% 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. This gap in gross revenue is startling, and speaks to a broad array of systemic issues faced by these businesses.
To counter these obstacles, Juvia's Place is giving away six $50,000 grants in the hopes of eradicating these challenges faced by Black entrepreneurs.
How to Qualify
To apply for the Juvia's Place Black-Owned Business Grant, your business must be black-owned, you must be a U.S. resident or U.S. citizen, your business must be headquartered in the United States, and your 2019 business gross income must be between $1,000 and $250,000.
"As a Black-owned business, I understand first-hand the financial obstacles Black entrepreneurs face. I started Juvia's Place with just $2,000 and a dream. 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.
Challenges that Black Small Business Owners Face
According to SCORE, 44% of Black small business owners use cash to fund their business as compared to the average small business owner (37%). The most popular funding sources for African-American business owners are:
- Friends and family
- Lines of credit
- Rollovers for Business Start-ups (ROBS), financing that allows small businesses owners to tap into eligible retirement accounts to fund their businesses without tax penalties. Guidant says this grew by 21% in popularity among African-American small businesses year over year.
- Unsecured loans
- Peer-to peer
- Equipment leasing
- SBA Loans
Most of these sources require Black entrepreneurs to amass debt at high interest rates. These debt traps can kill a business before it even gets started. Black female entrepreneurs face even greater challenges. Black women in the U.S. are starting businesses at a faster rate (12% growth rate per year) than other groups (8% 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. This gap in gross revenue is startling, and speaks to a broad array of systemic issues faced by these businesses.
To counter these obstacles, Juvia's Place is giving away six $50,000 grants in the hopes of eradicating these challenges faced by Black entrepreneurs.
How to Qualify
To apply for the Juvia's Place Black-Owned Business Grant, your business must be black-owned, you must be a U.S. resident or U.S. citizen, your business must be headquartered in the United States, and your 2019 business gross income must be between $1,000 and $250,000.
