Women and minority entrepreneurs can now apply to a grant program allocating more than $90 million to help business owners in underserved communities, the U.S. Department of Commerce (DOC) announced this week.

The DOC announced the Capital Readiness Program (CRP) grant competition on Dec. 21, stating that the $93.5 million commitment "marks the largest program of its kind in the history of the Commerce Department." CRP funding will go to "incubators and accelerators across the country" that can train and assist minority business owners to begin or build their businesses "in high-growth industries such as healthcare, climate resilient technology, asset management, infrastructure, and more," the announcement states.

The DOC states that despite minority women-owned businesses being one of the fastest growing sectors in the economy, they still face structural barriers to accessing capital, peer networks and childcare solutions needed to start their businesses. 

"The Capital Readiness Program will provide the curriculum, tools, and resources to minority entrepreneurs to access capital and funding," the DOC states, "and connect them to subject matter experts, vendors and peer support to help start or scale their business."

Commerce Sec. Gina Raimondo noted in the report that women- and minority-owned businesses were particularly hard-hit during the Covid-19 pandemic, often due to not having the resources "to keep their doors open."

"We can't let this happen again," Raimondo said in the announcement. "That’s why the Capital Readiness Program prioritizes and encourages resources and tools, such as childcare services, that will ensure more people can launch and scale businesses.”

Don Graves, DOC deputy secretary, said in the announcement that less than one-half of one percent of total venture capital investments in 2020 were in Black or Hispanic female entrepreneurs.

“Jump-starting the next generation of entrepreneurs and ensuring diverse representation in these high-growth industries is essential," Graves said, "not only to spurring innovation, but also to building a more resilient economy that’s reflective of all Americans.”