Booker, Van Hollen, Hirono, Blunt Rochester Introduce SOAR Act to Expand Support for New Small Businesses with Up to $1 Million in Grants

WASHINGTON, D.C . — U.S. Senators Cory Booker (D-NJ), Chris Van Hollen (D-MD), Mazie Hirono (D-HI), and Lisa Blunt Rochester (D-DE) introduced the Startup Opportunity Accelerator (SOAR) Act , legislation to expand support for early-stage businesses in rural, low-income, and historically underserved communities. The bill would authorize $80 million annually for 10 years through the Small Business Administration (SBA), including grants of up to $1 million for eligible startup accelerators, incubators, universities, and other organizations that help entrepreneurs launch and grow their businesses. Funding could support mentorship, leadership development, access to financing, workspace, and other services for early-stage businesses. “America’s next great entrepreneurs, inventors, and creators are already hard at work building in communities all across the country. But too often, whether a small business gets the chance to turn their ideas into something bigger depends more on where you live, who you know, and where you are from,” said Senator Booker. “America can’t afford to keep talent on the sidelines. Our bill would build ecosystems in every corner of the country to ensure that the next generation of innovators are supported with the access to capital, mentorship, and resources they need to turn their big ideas into thriving businesses.” “Investing in entrepreneurs and small businesses in underserved areas can create jobs and build wealth in communities that have been historically left behind. This legislation would provide entrepreneurs across the country with resources to support their success, helping to build a more inclusive and prosperous economy that works for all Americans,” said Senator Van Hollen. "Capital has never flowed equally in this country, and the numbers prove it: Black entrepreneurs receive just one percent of all venture capital, even as businesses under five years old drive nearly every net new job created in America. Senator Booker's Startup Opportunity Accelerator Act doesn't just acknowledge that gap, it closes it, requiring that half of every dollar in this fund reach the entrepreneurs our economy has overlooked for too long. This is the kind of deliberate, measurable action U.S. Black Chambers, Inc. has been calling on Washington to take, and we are proud to stand behind it,” said U.S. Black Chambers Inc. Startups are a major driver of job creation, but access to capital and business support remains uneven. Between 1982 and 2011, businesses five years old or younger generated nearly all net new job creation nationwide. Yet only 1 percent of venture capital funding goes to Black-owned firms, 1.5 percent goes to Latino-owned firms, and 1.9 percent goes to startups owned solely by women. The SOAR Act would specifically: Establish a competitive grant program for organizations supporting early-stage startups. Provide grants of up to $1 million to eligible startup accelerators, incubators, universities, and other organizations. Prioritize programs serving women, veterans, minority entrepreneurs, people with disabilities, and rural communities. Strengthen oversight and transparency of the program. The SOAR Act is cosponsored by U.S. Senators Chris Van Hollen (D-MD), and Mazie Hirono (D-HI), and Lisa Blunt Rochester (D-DE). The SOAR Act is supported by Small Business Majority, U.S. Black Chambers, Inc., The Innovation Space, United States Hispanic Business Council, BBC Entrepreneurial Training & Consulting, LLC, New Jersey Innovation Institute, Frontier Mission Network, LegalCORPS, Rockies Venture Club, Inncuvate, Oregon Entrepreneurs Forum / Oregon Entrepreneurs Network, and the Arrowhead Center at New Mexico State University. Read the full one-pager on the SOAR Act here. Read the full text of the SOAR Act here.