US Minority Business Development Agency

Supports minority-owned businesses with advisory services, capital access, contracts, and market expansion programs.

The Minority Business Development Agency (MBDA) is a U.S. federal agency inside the Department of Commerce and the only federal body charged specifically with promoting the growth and global competitiveness of minority-owned businesses. Its mandate is to unlock capital, contracts, and markets for Minority Business Enterprises, and it is currently operating under a federal court injunction after the 2025 attempt to eliminate the agency.

MBDA does not send grants directly to businesses. It funds universities, nonprofits, chambers of commerce, tribal entities, and other intermediaries through competitive cooperative agreements, and those awardees run business centers, specialty centers, capital readiness work, and rural business support. The practical delivery model covers capital access, procurement help, export readiness, and advanced-manufacturing support, while the agency's FY24 impact included $1.5 billion in facilitated capital, $2.6 billion in contracts for MBEs, and 11,000 jobs created or safeguarded.

For applicants, the useful target is the intermediary competition, not a direct small-business grant. The best fit is an organization that can deliver technical assistance, financing navigation, or contract facilitation on behalf of minority-owned firms. In 2026 the agency's competition remains constrained by litigation and prior program cuts, so applicants should watch the center network and cooperative-agreement route rather than expect a direct small-business grant.