Since its founding in 1969 by President Nixon, the Minority Business Development Agency (MBDA) has been dedicated to promoting the growth of minority business enterprises through public and private sector programs, policy, and research. This mission is based on the understanding that achieving the full potential of the U.S. economy requires enabling every American entrepreneur to start and grow their businesses regardless of background.

In the three years since a bipartisan coalition in Congress and President Biden authorized and codified MBDA, significant progress has been made towards closing resource and access gaps between minority-owned and non-minority-owned businesses.

In March, a federal court in Texas ruled on a case that had the potential to disrupt MBDA’s work. The court acknowledged that minority business enterprises "have far less access to capital and credit…due to racial discrimination in lending markets," but ruled that Congress violated the Constitution by requiring MBDA to presume that members of specified racial or ethnic groups experienced discrimination or had an impaired ability to compete due to lack of capital and credit opportunities, making them eligible for MBDA Business Center services.

"We strongly disagree with the court’s ruling but our primary goal is to ensure MBDA can continue to meet its mission to promote the growth and global competitiveness of minority business enterprises in order to unlock the country’s full economic potential," stated Secretary Gina Raimondo and Deputy Secretary Don Graves.

The Department of Justice communicated today that it will not appeal the court’s ruling after careful consideration. The injunction does not currently prevent MBDA from continuing its mission, which remains a fundamental priority. Raimondo and Graves emphasized their commitment: "We remain motivated, now more than ever, to ensure that all Americans have the resources and opportunities needed to start and grow flourishing businesses, create generational wealth, and contribute to our shared economic prosperity."

They concluded by highlighting America's need for a level playing field for all citizens regardless of race, gender, or religious affiliation: "Our country’s long-term success requires a truly level playing field for all Americans... We see America’s future as one that is grounded in dignity, equality, and freedom."

For more information about the Department of Commerce's equity resources:

- [Fact Sheet](https://www.commerce.gov/news/fact-sheets/2024/06/fact-sheet-us-department-commerce-support-minority-business-enterprises)

- [Resource](https://www.commerce.gov/work-us/services-businesses/resources-minority-business-enterprises)