Equitable Equity
— by Amanda Lawson
Business is creating a solution to a problem. The problem is that it’s the people with capital who typically decide which problems get solved.
So, what happens when systems and institutions are set up in ways that tend to overlook people and communities facing some of the most deeply-rooted problems? What do we do when capital rests exclusively in the hands of those who remain unaware of these problems?
Oye Waddell, founder of Hustle PHX (Phoenix), explained that communities are rife with latent talent that has been stifled due to systemic racism and limited opportunities. He claimed that “people do business with people they know, like, and trust” but if communities with capital and resources are not engaged with minority communities, that talent remains untapped.
A burgeoning group of investors has decided to do something about this gap. In recent years, several accelerators and funds have emerged with the focus of enabling growth of sustainable business run by people in traditionally underserved communities, especially people of color. Here, we highlight four that are driven to this mission as a result of their faith.
Hustle PHX
Oye Waddell founded Hustle PHX with a desire to redeem the notion of hustle. A start-up accelerator and early stage fund, Hustle is branching into other major cities around the US to support entrepreneurs of color with intellectual, social, and financial capital. Hustle understands “some of the best natural entrepreneurs in the United States are in underserved urban communities. They are called hustlers—visionary risk-takers who seize the opportunity to move product and turn a profit. They have the God-given skills, attributes, and talents of an entrepreneur, but they lack key resources needed to create sustainable businesses that benefit the broader community. At Hustle PHX, we want to let the hustlers hustle—for the common good.” Waddell used his own experience growing up in underserved communities—and those of his peers—to develop a program that break cycles of poverty by building relational support systems and putting intellectual and financial capital in the hands of entrepreneurs of color.
Collab Capital
Collab Capital is an Atlanta-based accelerator studio and fund that creates “a growth solution for black founders seeking capital, who value profitability, ownership, and optionality.” Its founders, Barry Givens, Jewel Burks, and Justin Dawkins built Collab on the belief that “a key pillar to solving the growing US racial wealth gap is business formation and growth in the Black community. In order to ensure more black founded businesses have the resources they need to be successful, the ability to maintain majority ownership, and increase revenue, we’ve designed a new investment model which aligns our interests with those of the founders we support.”
To overcome the lack of generational wealth that often aids entrepreneurs in startup culture, Collab’s mission is to pave a pathway to sustained wealth for the Black community by investing in tech and tech-enabled companies through efficient capital and effective connections between Black innovators, investors, and influencers.
KNGDM Group
Specifically targeting founders passionate about community and social justice, KNGDM Group is driven by guiding principles grounded in “a strong set of values, guiding how our network engages with communities, partners, and government agencies, to ultimately benefit residents & business owners. We believe social impact investments can break systemic cycles.” Founded in 2019, KNGDM Group already exists in several major US cities as an impact fund that empowers and uplifts communities by building a network of investors and influencers that bring capital and voice to those traditional VC practices have often overlooked. As a private equity/VC fund, KNGDM Group is deeply invested in ensuring a faith-based impact that is both measurable and sustainable.
Brown Venture Group
Paul Campbell founded Brown Venture Group after a frustrating personal experience forced him to confront racism in the business world. Brown is an early stage seed accelerator VC firm focused on emerging technologies that will build generational wealth and remove barriers that have inhibited people of color from realizing their full potential as entrepreneurs. Because of his faith, Campbell ensured that Brown was not only about business success but also deeply passionate about positive community impact. The hope is that by helping groups that have historically struggled to receive support or access to opportunities in entrepreneurship, Brown Venture Group can be a part of raising up entire communities through sustainable wealth generation.
“If your why doesn’t make you cry, it’s not big enough.” -Oye Waddell
When presented with an opportunity to address and overcome deeply rooted barriers to business for communities of color, these are the men and women for whom the why is personal. They are the ones passionately working to put money in the hands of people who need it—people who have consistently been overlooked and ignored. They’re challenging the norm and setting the standards for today’s Faith Driven Investors by helping create tomorrow’s Faith Driven Entrepreneurs.
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[ Photo by Patrick Weissenberger on Unsplash ]