Truist Commits $120M to Minority-Owned SMBs

Truist Financial has made a $120 million commitment to support small businesses (SMBs), with a focus on Black, Latinx and women-owned enterprises.

As the company said in a news release Monday (June 27), the pledge includes $30 million in philanthropic grants to support nonprofits that assist small businesses and diverse entrepreneurs, along with $5 million in philanthropic grants, which will boost technical assistance, small businesses and volunteerism.

The remaining $85 million supports debt and equity. Truist says it wants to work with community development financial institutions (CDFIs) as they are focused on providing credit and financial services to underserved people.

“Small businesses are a vital part of our economy and are core to the health and vibrancy of our communities,” said Truist CEO Bill Rogers.

“Our purpose is to inspire and build better lives and communities. This commitment exemplifies our purpose — it is focused on capitalizing small businesses and reaching diverse communities by providing financing as well as support and training to help minority-owned small businesses thrive and grow.”

Meanwhile, Truist will make a $5 million national investment in Grameen America, a nonprofit that provides capital to women entrepreneurs who live below the federal poverty line. The company is also giving $500,000 to Grameen America’s projects in Truist’s home city of Charlotte, North Carolina.

See also: JPMorgan Rolls Out Grant For Diverse SMBs

Earlier this year, JPMorgan Chase launched a new program to help Black, Hispanic and Latino-owned businesses get capital.

Known as the Diverse Supplier Grant Initiative, the program is designed to correct the problem of small and minority-owned businesses finding it difficult to meet industry requirements such as cybersecurity, insurance and bonding when bidding for new corporate business.

The banking giant is working with the Local Initiatives Support Corporation (LISC), a Community Development Financial Institution and certified 501(c)(3), to manage the program.