H.R. 5826: Increasing and Developing Entrepreneurship Access Act of 2025

The bill known as the Increasing and Developing Entrepreneurship Access Act of 2025 proposes to create a grant program aimed at enhancing access to entrepreneurship opportunities for minority business enterprises (MBEs). Below are the main provisions of the bill:

Establishment of a Grant Program

The Under Secretary of Commerce for Minority Business Development is required to establish a grant program within 180 days after the bill is enacted. This program will provide financial grants to business accelerator entities, which in turn will facilitate entrepreneurship opportunities for MBEs.

Application Process

Business accelerator entities that wish to apply for these grants must submit an application to the Under Secretary. This application process will include specific requirements set by the Under Secretary.

Grant Amount and Duration

Each grant awarded will amount to $1,000,000 annually for a period of five consecutive years. This financial support aims to bolster the operations of the recipient organizations in assisting MBEs.

Federal Contribution

The federal share of the grant cannot exceed 75% of the total funds that the business accelerator entity provides to carry out its activities funded by the grant.

Use of Funds

Grant funds must be utilized by business accelerator entities for the following purposes:

• Providing capital, including direct cash transfers, to minority business enterprises within their regions.
• Creating networking programs that connect MBEs to sources of capital and innovation.
• Offering any additional forms of assistance deemed appropriate by the Under Secretary.

To qualify as a region for these initiatives, there must be at least 15 MBEs, each generating a minimum revenue of $250,000 annually.

Reporting Requirements

The Under Secretary is mandated to submit a report to Congress for each fiscal year in which grants are provided. This report must include:

• The number of grants awarded and their total value.
• The number of MBEs receiving support from the entities awarded grants.
• A description of any failures to comply with grant regulations by business accelerator entities.

Compliance and Penalties

Business accelerator entities that receive grants and misuse the funds, either knowingly or through improper actions, could face criminal charges, including fines or imprisonment for up to one year.

Definitions

The bill provides specific definitions for key terms:

• Business accelerator entity: An organization that partners with public or private organizations to support MBEs, offers seed investments, or facilitates capital-raising opportunities.
• Minority business enterprise (MBE): Defined according to existing regulations under the CARES Act.
• Under Secretary: The official leading the Department of Commerce for Minority Business Development.

Funding Authorization

To support the provisions of this bill, a budget of $25,000,000 is authorized for each fiscal year from 2026 through 2030.

Relevant Companies

None found