Last Updated on February 27, 2023 by BVN
The Local Initiatives Support Corporation (LISC) and Uber Eats have partnered to create the Black Restaurant Fund with the goal of overcoming the systemic financial barriers that Black restaurant owners often face.
The program provides growth capital that is repaid only after owners meet specific revenue growth targets, thereby promoting flexibility and facilitating expansion. The launch of the Black Restaurant Fund was announced at the Black Business Resource Launch Party hosted by Uber and Eat Okra in Atlanta in February.
LISC is a non-profit that aims to create sustainable and inclusive communities by investing in under-resourced neighborhoods, promoting affordable housing, economic development, and community programs. The organization has partnered with Uber before in response to the COVID-19 Pandemic to provide financial and technical assistance to restaurants, with a focus on those owned by entrepreneurs of color.
The fund is aimed at restaurants in economically disadvantaged communities that have employees, are Uber Eats partners, and generate between $250,000 and $3 million in revenue. The initiative is expected to fuel 35 businesses over the next three years, providing an opportunity for Black entrepreneurs to grow their businesses and thrive.
“We take a different approach to underwriting than many investors do because we can look beyond traditional metrics to consider the real-world potential of these enterprises,” George Ashton, managing director of LISC Strategic Investments, said.
This new program with Uber enables LISC to create collaborations and investment products that assist Black restaurant owners in achieving sustainable growth. Through the program, they aim to help owners establish a financial track record that can be used to access conventional investors in the future.
The Black Restaurant Fund is a step towards a healthy, equitable future for Black restaurant owners and their employees, as well as the communities where they operate. If you are a Black restaurant owner and want to learn more about the fund, visit https://www.liscstrategicinvestments.org/uber-black-restaurant-fund.