Marginalized entrepreneurs face many barriers but access to capital and investment is the leading cause of business failure. Black-owned businesses are three times as likely to be denied loans despite creditworthiness, and those that are approved often receive lower loan amounts and pay higher interest rates. Additionally, only 25% of Latinx entrepreneurs who apply for business-related funding receive the full requested amount, which impacts business development and growth.
For many marginalized entrepreneurs, they must turn to personal savings, loans from family members, credit cards, or financing from their homes to invest in their business. This financial barrier impedes the business’ ability to operate effectively and market and promote themselves properly in their communities. The Restaurant Business Support Fund provides marginalized entrepreneurs with the resources and support needed to develop sustainable businesses.