H.R. 3793: Minority Entrepreneurship Grant Program Act of 2025

This bill, known as the Minority Entrepreneurship Grant Program Act of 2025, aims to establish a grant program under the Small Business Administration (SBA) to support minority entrepreneurship. The program specifically targets minority-serving institutions (MSIs) and historically Black colleges and universities (HBCUs) by providing grants to create or expand programs that encourage business ownership among minority students.

Key Components of the Bill

• Grant Establishment: The SBA Administrator, in consultation with the Under Secretary of Commerce for Minority Business Development, is required to create a grant program within 180 days of the bill’s enactment.
• Grant Applications: Minority-serving institutions and HBCUs must submit applications explaining the need for funds to promote minority entrepreneurship, detailing how the money will be utilized, and outlining support initiatives for student entrepreneurs.
• Minimum Grant Amount: Each grant awarded under this program will be at least $250,000.
• Use of Funds: Grant funds can be used for various resources beneficial to student entrepreneurs, such as legal assistance, accounting, IT support, marketing, training, and access to capital resources necessary for establishing or expanding businesses.
• Reporting Requirements: Institutions receiving grants are required to provide mid-year and year-end reports to the SBA. These reports must include data on the number of student entrepreneurs assisted, businesses created, and referrals to other SBA resources.
• Congressional Reports: The SBA must submit annual reports to Congress detailing the program's activity, including how many grants were issued, student entrepreneurs assisted, and businesses created as a result of the funding.
• Funding Authorization: The bill authorizes an appropriation of $50 million to support the program.

Advisory Board

The bill establishes a Minority Entrepreneurship Advisory Board that will develop recommendations on how to enhance the services provided by MSIs and HBCUs to better support minority entrepreneurs. This board will be comprised of qualified individuals knowledgeable about minority business concerns and issues, and its members will be appointed by the SBA Administrator.

Definitions

Several key definitions are provided in the bill:

• Minority: This term includes individuals who identify as Black or African American, Hispanic or Latino, Native or Indigenous American, Asian, Native Hawaiian or other Pacific Islander, and other socially disadvantaged groups.
• Minority-Serving Institutions: This includes various classifications of institutions, such as Hispanic-serving, Tribal Colleges, Alaska Native-serving, Native Hawaiian-serving, and Predominantly Black Institutions.
• Small Business Concern: Defined by existing standards related to the Small Business Act, this term pertains to businesses that meet certain size criteria.

Overall Purpose

The overarching goal of this bill is to promote minority business ownership by providing support through educational institutions specifically aimed at minorities. By facilitating access to resources and funding, it seeks to empower minority students to launch and develop their own businesses, therefore contributing to greater economic equity and diversity in entrepreneurship.

Relevant Companies

None found.