UK Launches Monthly Fund for Black & Brown Women

• A new funding initiative was announced for the United Kingdom
• The program provides £10,000 in grant funding on a monthly basis to Black and Brown women founders
• It intends to fill the gaps in equity within entrepreneurship

A new funding program has emerged within the United Kingdom to address equity discrepancies for entrepreneurs. The program provides funding of £10,000 or approximately $13,450 per month exclusively for Black and Brown women entrepreneurs.

This project, named FundHerShip, operates under the management of OmegaSeven, which is a community-driven organization that aims for economic justice and business development. According to OmegaSeven, the function of FundHerShip is the first completely self-sustaining monthly grant program for Black and Brown women entrepreneurs in the UK.

FundHerShip arose from inequality regarding funding startups. As reported by OmegaSeven, 88 percent of Black startups and 25 percent of White startups had Black founders who bootstrap their startups, pointing towards inequality regarding funding distribution among various groups of people.

According to the organization, traditional funding channels continuously favor people who fall into specific profiles, but Black and Brown women may encounter greater obstacles in raising money.

OmegaSeven presents this initiative as an investment-driven model as opposed to being philanthropy or charity-driven. Organizers believe that this initiative promotes innovation, business sustainability, and enterprises driven by the communities.

This initiative also disputes another myth surrounding the "pipeline" of Black and Brown women founders that lack investment.

Under this initiative, every month, one Black or Brown woman entrepreneur in the UK receives £10,000. These funds are utilized for the expansion, development, and sustainability of the business.

At the close of each year, one among the twelve nominated to receive funds every month receives a further £25,000, and this happens after a public vote.

The fund is self-sustainable, with funding obtained from application fees set at GBP 20 and support from people who back the initiative.

According to OmegaSeven, the arrangement is meant to support the independence and accountability of the program to the community it serves.

The launch of FundHerShip happens to coincide at a time when discussions about racial equity for entrepreneurship are ongoing.

This happens after research was carried out and showed that the proportion of venture capital going to black female entrepreneurs is a very small percentage and yet they are at the forefront in setting up the numerous businesses. The move is not only being followed in Africa but globally.

Through the extension of definitions related to inevitability, FundHerShip hopes to play a role in conversations regarding the allocation of funding in the UK and abroad.