PFund Foundation Equity Fund: $5,000 Grants for LGBTQ+ BIPOC Entrepreneurs

Grant Overview

Minnesota’s Most Comprehensive Business Grant Program for Queer Entrepreneurs of Color

If you’re an LGBTQ+ entrepreneur of color in the Twin Cities dealing with the same funding roadblocks that hit only 1.1% of venture capital going to companies with minority founders, the PFund Foundation Equity Fund might be exactly what you’ve been searching for. This program hands out $5,000 grants plus six months of targeted business education, but here’s what makes it different – it actually understands the specific challenges you face as someone operating at the intersection of multiple marginalized identities.

Most grant programs either ignore your identity completely or treat it like a checkbox. This one was built from the ground up by people who get it. Similar to other minority-focused programs, the Equity Fund recognizes that your journey as a queer entrepreneur of color involves navigating systems that weren’t designed with you in mind.

Here’s What You Actually Get (Beyond Just Money)

The $5,000 is nice, but it’s honestly the smallest piece of what this program offers. You also get access to six in-person training sessions that aren’t generic “how to write a business plan” workshops – they’re specifically designed for LGBTQ+ entrepreneurs dealing with real issues like being out in professional spaces, handling discrimination from potential clients, and building networks when traditional business circles feel unwelcoming.

Plus there’s the Quorum membership. That’s Minnesota’s LGBTQ+ Chamber of Commerce, and having that connection for a full year can open doors you didn’t even know existed. Unlike other business grants that leave you isolated, this program builds community around your success.

Q: Who exactly qualifies for this grant?
A: LGBTQ+ entrepreneurs who identify as Black, Indigenous, or People of Color with businesses in the Twin Cities Metro Area operating for at least one year.

Q: What if my business makes close to $250,000 in revenue?
A: You’re still eligible as long as your most recent fiscal year was $250,000 or less.

The Real Story: Why This Program Exists

PFund Foundation didn’t just wake up one day and decide to give out grants. The organization was born during the AIDS crisis in the 1980s when LGBTQ+ communities had to create their own support systems because nobody else would. That crisis mentality – the understanding that sometimes you have to build your own infrastructure – still drives everything they do today.

The Equity Fund specifically emerged from recognizing that BIPOC entrepreneurs face systemic barriers in access to capital that compound when you add LGBTQ+ identity to the mix. Research consistently shows that entrepreneurs of color get shut out of traditional funding, and when you’re also navigating homophobia or transphobia in business spaces, those barriers multiply.

So this isn’t charity. It’s economic justice work disguised as a grant program. Just like other programs supporting minority entrepreneurs, the Equity Fund recognizes that diverse businesses strengthen entire economic ecosystems.

What Past Recipients Actually Built

Looking at previous cohorts gives you a sense of what’s possible. Belo Miguel Cipriani used his grant to build Oleb Media, a digital accessibility consulting firm. That might sound niche, but accessibility is huge business right now, and his perspective as someone who understands exclusion helped him identify a market gap that others missed.

The program has funded everything from creative agencies to consulting firms to retail businesses. The common thread isn’t the industry – it’s entrepreneurs who saw opportunities others overlooked because of their unique perspective as LGBTQ+ people of color.

Q: Can I apply if I’ve received other grants before?
A: Yes, including previous PFund grants, but you’ll need to explain how you used past funding.

Q: Are nonprofits eligible?
A: No. This specifically targets for-profit businesses.

How the Application Process Actually Works

Applications open Monday, August 11th and close Monday, September 22nd at 5:00 PM Central. Don’t treat this like a college application where you can bang something out the night before – the documentation requirements alone will take time to pull together.

You’ll apply through Submittable, which means creating an account if you don’t already have one. The required documents depend on your business structure: sole proprietors need IRS Form 1040 Schedule C, partnerships need Form 1065, and corporations can submit either Form 1120 or a 12-month profit-and-loss statement. Plus you need a business plan that actually explains your business, not just generic market research.

There’s a virtual info session Monday, August 18th at noon Central. Unlike simpler grant applications, this program requires understanding the community investment model, so attending that session is basically mandatory if you want to write a competitive application.

The Community Review Process

Here’s where this gets interesting – your application doesn’t get reviewed by some corporate board or foundation staff who’ve never run a business. Community members, people who understand the challenges you’re facing because they’ve lived them, evaluate each application using a detailed rubric.

They’re looking at six main areas, each scored 1-5: your business narrative (can they understand what you do and why), your business plan (is it realistic and financially viable), how your identity has shaped your business approach, your specific funding plan, your engagement with the cohort learning model, and your financial documentation quality.

The selection process prioritizes businesses positioned for growth, not just those needing help. Similar to veteran entrepreneur programs, they want to invest in success stories that will inspire future cohorts.

Q: What makes an application stand out?
A: Specific details about how the funding will create measurable business growth, plus clear connections between your identity and business strategy.

Q: Can I make changes after submitting?
A: No. Submit everything in final form by the deadline.

The Six-Month Cohort Experience

From January through June 2026, recipients meet the second Tuesday of each month from 6:00-8:30 PM at Quorum’s St. Paul offices. This isn’t generic small business education – it’s curriculum designed specifically for LGBTQ+ entrepreneurs of color dealing with unique challenges.

You’re required to attend 80% of sessions, which means you can miss one but not two. Some content can be made up virtually if you have scheduling conflicts, but the real value happens in the room with other entrepreneurs dealing similar challenges.

The cohort model creates something most small business owners lack: peer networks of people who actually understand your experience. Unlike isolated funding opportunities, this program builds community that extends far beyond the grant period.

What You’re Actually Learning

The training sessions cover practical business skills but through the lens of operating as LGBTQ+ entrepreneurs of color. That might mean discussions about being out with clients, handling discrimination in supplier relationships, or building marketing that speaks to diverse communities without alienating others.

You also get connected to Minnesota’s broader LGBTQ+ business ecosystem through the Quorum membership. That’s access to networking events, mentorship opportunities, and potential customer bases that might not be accessible through traditional business organizations.

Q: What if my schedule is unpredictable and I can’t guarantee attendance?
A: They understand complications happen, but you need to realistically commit to 80% attendance for program success.

Q: Will I have to share proprietary business information?
A: You control disclosure levels. The program focuses on resource sharing and knowledge building, not sensitive IP discussion.

Making Your Application Competitive

The applications that get funded share some common characteristics. First, they’re specific about funding usage and expected outcomes. Don’t just say you want to “grow your business” – explain exactly what growth looks like and how $5,000 gets you there.

Second, successful applications connect identity to business strategy in concrete ways. Maybe your perspective as a queer person of color helped you identify an underserved market. Maybe your lived experience informed your approach to customer service or product development. Show those connections clearly.

Financial documentation matters more than people realize. Your submissions should be as detailed and professional as possible given your business size and age. Like other serious business grants, reviewers use these documents to assess whether you understand your financial position and can responsibly handle grant funds.

The business plan doesn’t need to be 50 pages, but it should clearly explain what you do, who you serve, how you make money, and where you’re headed. If someone unfamiliar with your industry can’t understand your business after reading your plan, you need to simplify your explanation.

Common Mistakes That Kill Applications

Based on successful and unsuccessful applications, certain patterns emerge. Applications that try to be everything to everyone usually fail – be specific about your target market and value proposition.

Financial projections that seem unrealistic or unsupported by data raise red flags. Your growth plans should be ambitious but grounded in actual market research and business fundamentals.

Applications that don’t connect identity to business strategy miss a key evaluation criteria. This program specifically supports entrepreneurs whose identities inform their business approach, so make those connections explicit.

Q: Is the grant money considered taxable income?
A: Yes. Recipients receive 1099 forms and are responsible for taxes on the grant amount.

Q: Can I apply if my business filed LLC paperwork recently but has been operating longer?
A: Yes. Include details about operational history versus legal registration dates in your application.

What Happens After You Get Funded

Recipients agree to several conditions beyond attending cohort meetings. You can only use grant funds for business purposes outlined in your proposal – personal use is prohibited. You’ll need to provide paperwork for grant processing, including a signed agreement, W9 form, and business logo.

At the program’s end, you’ll complete an online survey and produce a report detailing how you used the funding and what impact it had on your business. These aren’t bureaucratic hurdles – they’re accountability measures that help PFund demonstrate program effectiveness and secure continued funding.

The reporting requirement also helps future applicants understand what successful grant usage looks like. Similar to other community-focused programs, your success becomes part of the evidence base for continued community investment.

Building Long-Term Success

The program’s real value extends beyond the grant period. The connections you make through the cohort and Quorum membership can lead to partnerships, mentorship relationships, customer referrals, and future funding opportunities.

Many recipients report that the peer network becomes more valuable than the initial $5,000. Having access to other LGBTQ+ entrepreneurs of color who understand the specific challenges you face provides ongoing support that’s hard to find elsewhere.

The program also positions you within Minnesota’s LGBTQ+ business ecosystem, which can open doors to contracts, collaborations, and opportunities that might not be accessible through traditional business networks.

Q: What if I need help with my application?
A: PFund staff can answer questions, but they can’t help write your application.

Q: Can I reapply if I don’t get funded this cycle?
A: Yes, though you’d need to wait for the next application cycle and potentially strengthen your application based on reviewer feedback.

Running a business as an LGBTQ+ person of color means navigating challenges that most business resources don’t acknowledge, let alone address. BIPOC entrepreneurs often have to create their own solutions when pursuing growth, and the Equity Fund recognizes this reality by providing not just funding but community and targeted support.

The application process is thorough because PFund wants to invest in businesses positioned for genuine impact. If you’re serious about this opportunity and want expert guidance on crafting an application that showcases your business’s potential, that’s exactly what our grant consultants do at Grantaura. Sometimes having experienced eyes review your application strategy can mean the difference between a good submission and a funded one. CLICK HERE to get GRANT PROPOSAL WRITING help.

Donor: PFund Foundation

Focus: LGBTQ+ entrepreneurship, BIPOC business development, economic equity, community investment, intersectional business support

Region: Minneapolis, St. Paul, Twin Cities Metro Area, Minnesota, United States

Eligibility:
– Must identify as LGBTQ+ and Black, Indigenous, or Person of Color (BIPOC)
– Business located in Twin Cities Metro Area of Minnesota
– Business operational for at least one year
– Annual gross revenue of $250,000 or less for most recent fiscal year
– 20 or fewer employees
– For-profit businesses only (nonprofits not eligible)

Benefits:
– Financial Award: $5,000 grant for business capacity building and development
– Professional Development: Six in-person training sessions (January-June 2026)
– Networking: One-year membership to Quorum, Minnesota’s LGBTQ+ Chamber of Commerce
– Community Support: Access to cohort of fellow LGBTQ+ BIPOC entrepreneurs

Deadline: September 22, 2025

Terms:
– BIPOC: Black, Indigenous, or Person of Color – recognizes specific intersectional challenges faced by entrepreneurs with these identities in accessing capital and business resources
– Twin Cities Metro Area: Minneapolis-St. Paul metropolitan region including surrounding suburbs and counties where businesses must be physically located
– Business Capacity Building: Strategic investments in systems, skills, infrastructure, and resources that strengthen long-term business sustainability and growth potential
– Cohort Model: Group-based learning approach where participants learn together, share experiences, and support each other’s business development over six months
– 80% Attendance Requirement: Must attend at least 5 of 6 monthly training sessions to maintain program compliance and maximize community investment

Author: Working at the intersection of funding access and identity-based entrepreneurship has shown me how traditional systems consistently fail LGBTQ+ entrepreneurs of color. As Grantaura’s founder, I’ve witnessed firsthand how programs like the Equity Fund don’t just provide capital – they create economic pathways that didn’t exist before. The challenges facing queer entrepreneurs of color aren’t just about money; they’re about building business communities that understand and support your full identity. My experience helping entrepreneurs navigate funding landscapes has revealed that the right grant program can transform not just individual businesses, but entire community economic ecosystems. When we discuss equity in entrepreneurship, we’re really talking about building infrastructure that allows brilliant ideas to flourish regardless of the systemic barriers their creators face.