Plug In Ventures Secures $1M Grant To Boost Black And Brown Entrepreneurship In Tech

Black-owned tech accelerator Plug In Ventures has secured a new $1 million grant from the California Office of Small Business Advocate (CalOSBA).

Plug In is the space for Black and Brown entrepreneurs and VCs to reimagine the innovation economy across the US and beyond.

Founded by Derek Smith in 2014, the accelerator investing mentors and expands early-stage entrepreneurs.

Since 2019, companies in his firm’s ecosystem have raised over $22 million in VC dollars from climate, sustainability, the creator economy, and athletic apparel.

The Funding

Plug In Ventures will receive $250,000 annually from CalOSBA over four years.

The funding aims to empower Black and brown early-stage startups in Southern California, fostering a more inclusive entrepreneurial ecosystem through access to capital, mentorship, resources, and educational programs.

Smith said the grant will enhance his firm’s accelerator program and support new founders outside the program.

Their accelerator program is designed for Black and Latine founders focused on solving big problems in Healthcare, Fintech, Digital Media, Climate Control, and Sustainability Efforts in historically marginalized communities.

“Our focus will be on equipping them with the skills and resources needed to develop venture-backable business models and ideas, particularly in the realm of software technology,” Smith told Black Enterprise.

He wants to see the number of companies his firm helps secure investment grow conservatively by 10% to 20% by 2025 and expand into new sectors like automation, healthcare, and digital technology.

“With the scale back in venture capital flowing into Black and brown entrepreneurs, the work that we’re doing to support these enterprises is more important now than ever,” Smith said.