Female founders of color have historically been denied equitable access to capital of all forms. Black and Latinx female founders continue to receive less than 1% of venture capital, but the funding gaps that entrepreneurs of color face start far before they prepare to raise their first venture round. Nearly 40% of early-stage entrepreneurs raise initial funding through a type of investment known as the “Friends and Family” round in order to get their companies off the ground. With more than $60 billion in friends and family money invested annually in startups, it’s the largest source of early-stage financing for entrepreneurs.

However, as result of the racial wealth gap—the disparity in median wealth between people of different races—most entrepreneurs of color do not have access to a network that can provide them with friends and family funding. Missing out on this investment can be detrimental to female founders of color launching early-stage ventures as it prevents them from testing their innovations, hiring key talent, and having the runway to grow and raise future investment.

Project Entrepreneur, a program by UBS, launched this initiative with Hello Alice because access to funding is a critical part of closing the equity gap for female founders of color. We hope the $25,000 grants and coaching and skill-building support will help these founders get their companies to the next level on their pathway to growth.