Fearless Fund Lawsuit: 2024 Update & What You Can Do
Last updated on October 16th, 2024 at 09:13 pm
This is a quick introduction to Fearless Fund, the lawsuit and what you can do to possibly help.
Note: This article is not legal advice nor does the article contain legal advice.
Fearless Fund Lawsuit + June 2024 Update
One of the best ways to fund your business is through bootstrapping. Another great way to get capital is from business grants, like the Fearless Fund’s Fearless Strivers Grant.
Fearless Fund is a venture capital firm that has raised millions of dollars from investors to fund women of color businesses, especially, Black women owned businesses.
In addition to investments, the firm provides grants ranging from $10K to $20K.
Previously, Fearless Fund partnered with the Tory Burch Foundation to deploy grants to women of color entrepreneurs such as:
Most recently, the firm created their Fearless Strivers Grant for Black women entrepreneurs.
As of June 2024, an appeals court will uphold the injunction placed on those grants.
This means that Fearless Fund cannot award their grants.
About Fearless Fund
This VC firm is based in Atlanta, Georgia and invests in early-stage companies led by women of color.
Some of the companies the fund has invested in, include:
Some of the Fearless Fund investors include:
- JP Morgan Chase & Co
- Costco
There were initially several investors, but Simone told Inc. that many of the investors pulled out of the fund after hearing about the lawsuit.
Arian Simone, Ayana Parsons and Keshia Knight Pulliam founded the fund in 2019 and raised $5M.
In addition to capital, the fund provides grants, educational resources and events that support women of color entrepreneurs and help them grow their businesses.
Fearless Fund CEO: Arian Simone
Arian Simone is a General Partner and the CEO of Fearless Fund. Her background is in PR & marketing and she’s a serial entrepreneur and a philanthropist.
Fearless Strivers Grant Contest
The Fearless Strivers Grant launched this year, in partnership with Mastercard, to award $20K grants to Black women owned businesses.
As of September 30, 2023, the 11th US Circuit Court of Appeals has issued a temporary block on the grant program.
The Fearless Strivers Grant Contest cannot close their grant application window, nor can they select a grant winner.
More about the lawsuit
The fund is being sued by the American Alliance For Equal Rights (AAER).
This lawsuit claims that the Fearless Strivers Grant Contest is a racially discriminatory program that violates Section 1981 of the Civil Rights Act of 1866, because the grants are specifically for Black women owned businesses.
The American Alliance For Equal Rights was founded by Edward Blum, one of the plaintiffs in the Harvard College and University of North Carolina case where the Supreme Court outlawed affirmative action for college admissions.
AAER is also suing two law firms over their diversity fellowship programs.
What you can do to help
What should we do to help Fearless Fund?
First, check their website on how to take action which includes calling your congressman to request the Fearless Freedom Civil Rights Act.
Other ideas:
- Don’t stop talking about this. Post on social media and share articles with other founders
- Follow Fearless Fund on Instagram, LinkedIn and Twitter. Leave comments and share their posts to increase their visibility
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