There are about 49,000 American Indian and Alaska Native-owned small businesses in the US, according to US Census Bureau research. Indigenous entrepreneurs in the USA often face significant financial challenges, however:

56% of Native and Indigenous entrepreneurs cite financial issues such as raising capital or budgeting as their biggest challenge, according to a Breaking the Blueprint HubSpot blog survey.

16.3% of Native households don’t use banks, due to high poverty rates, systemic racism, and lack of brick-and-mortar institutions on reservations, according to a Federal Deposit Insurance Corporation’s (FDIC) 2019 survey.

Native business owners tend to have lower credit scores than non-Native business owners, impacting their ability to access credit, according to research at the Minneapolis Federal Reserve Bank. That survey also found that: 

• 83% of Native-owned employer businesses report struggling with increasing costs of goods and services.
• 70% of Native-owned employer businesses face challenges with paying operating expenses.
• 40% of Native-owned employer businesses experience difficulties with credit availability.

Here we’ll share resources available to Native owned businesses through nonprofit organizations, government agencies, and private lenders. These include grants, business development resources, and small business loans. 

Federal Small Business Grants for Indigenous Business Owners

Here are some of the best sources for federal grants for small businesses, including Native-owned businesses. 

Grants.gov 

Start your search at the Grants.gov federal government website. It offers a searchable database of thousands of federal grant opportunities. You can filter your search by eligibility criteria, such as grants specifically for Native American tribal organizations. Keep in mind that eligibility requirements vary for each grant. 

Also keep in mind that the federal government does not offer grants to start a business. 

To apply, you will need to create an account and register through SAM.gov. Your business will be assigned a Unique Entity Identifier to track your applications. The Grants.gov site offers details on the grant application process, and their resources are free. 

Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) Programs 

The National Institutes of Health (NIH) provides grants through the SBIR and STTR programs to small businesses (with under 500 employees) operating in underserved communities, including those serving Native American and Alaska Native populations. 

These grants aim to promote health equity by supporting research and community health development initiatives in these communities. The NIH website lists specific grant opportunities and eligibility requirements.

SBA 8(a) Business Development Program 

The 8(a) program, run by the Small Business Administration (SBA), assists small businesses owned and controlled by socially and economically disadvantaged individuals, including Native Americans. To be eligible, your business must have been in operation for at least two years and show a commitment to expanding into the federal marketplace. Participating businesses gain access to free training, mentorship, and potential assistance with securing federal government contracts.

Native American Trade Expansion Program (NATEP) 

Established in 2024, the pilot NATEP program from the SBA’s Office of Native American Affairs (ONAA) provides grants of up to $240,000 to Native American-owned small businesses. The aim is to increase exporting opportunities for these businesses. Among the qualifications, the business or non-profit must be operating for at least three years, and have a track record of serving Native American-owned small businesses and entrepreneurs.

Office of Native American Affairs (ONAA)

The Office of Native American Affairs serves as a crucial bridge connecting Native American, Alaska Native, and Native Hawaiian entrepreneurs with essential business resources and opportunities. At its core, ONAA helps Native business owners navigate and access key SBA programs, including the 8(a) Business Development Program, while providing free technical assistance in critical areas like marketing, financial analysis, and contract management.

Beyond direct support, ONAA actively fosters Native American entrepreneurship through multiple channels. They collaborate with organizations to deliver entrepreneurship empowerment workshops in various formats, ensuring accessibility for all Native business owners. In 2024, they launched the Native American Trade Expansion Program (NATEP), offering substantial grants to support export expansion for Native-owned businesses. 

Through tribal consultations and participation in economic development conferences, ONAA maintains strong connections with Native communities while continually expanding opportunities for Native entrepreneurs.

Sister Sky Inc.

Sister Sky, a 100% Native American-owned business, plays a vital role in supporting and empowering Native American entrepreneurs through comprehensive business development programs. Working under contract with the SBA’s Office of Native American Affairs, they provide essential educational resources and training designed specifically for Native business owners and aspiring entrepreneurs.

What sets Sister Sky apart is their flexible, multi-channel approach to business education. They offer business development workshops in three formats – onsite, hybrid, and virtual – making education accessible to entrepreneurs regardless of location. They also “Train the Trainers” to educate community partners like SBDCs, Native CDFIs, and Women’s Business Centers and help participants stay connected through social media.

The Native Business Center

Offered by Sister Sky Inc., the Native Business Center website is designed to be a hub for all-native business news, with information about training, technical assistance, and resources specifically for Native American business owners.  

Indian Business Incubators Program (IBIP) 

The Indian Business Incubators Program provides grant funding for business incubators that support new businesses and entrepreneurs serving Alaska Native or Native American communities. 

The Department of the Interior awards these grants for a three-year period to incubators that can offer business and technical assistance to qualifying businesses. Eligible incubators can apply for this grant through Grants.gov.

Though these grants do not go directly to small businesses, the funds they provide to Tribes and Tribal Organizations will support Native small business owners. 

Native American Business Development Institute (NABDI) 

Tribes and tribal organizations can apply for grants from the NABDI, typically ranging from $25,000 to $75,000 annually. These grants can be used to hire business consultants to conduct feasibility studies or create business plans. 

Applications are submitted through Grants.gov and must include a proposal outlining the project’s potential to stimulate economic development in a Native American community, a statement of work, a proposed budget, and a duly enacted tribal resolution. At the end of 2023, however, there is currently no funding for this program. 

Minority Business Development Agency (MBDA)

The Minority Business Development Agency (MBDA), part of the US Department of Commerce, provides comprehensive support to minority-owned businesses through its nationwide network of Business Centers and specialized resources. These centers serve as one-stop shops where minority business enterprises (MBEs) can access crucial services including capital access assistance, contract competition guidance, and support for entering global markets. They also offer specialized centers focused on specific industries like advanced manufacturing and federal contracting, ensuring targeted support for businesses in these sectors.

The MBDA’s impact is substantial and measurable. In fiscal year 2023 alone, they facilitated $1.5 billion in capital access for minority businesses and helped secure over $3.8 billion in contract awards. Through their extensive network, they provide financial consultations, grant information, loan guidance, and maintain a comprehensive Research and Data Hub. 

State Grants for Native Entrepreneurs

In addition to federal grants, entrepreneurs may want to search for state grants. A few examples are below: 

Montana

The Indian Equity Fund (IEF) Small Business Grant, administered by the Montana Department of Commerce, provides financial assistance to both new and expanding Native American businesses in the state. 

In 2022, the program had $260,000 available in grant funding, and entrepreneurs could apply for up to $14,000 to help cover significant expenses, like purchasing equipment. To be eligible, business owners must be enrolled members of one of the eight federally recognized tribes in Montana.

Information about the 2025 grant program is available on the website.

New Mexico 

The American Indian Business Enterprise Center (AIBE) in New Mexico supports Native American-owned businesses in the state by offering a variety of funding opportunities. These opportunities include incubators and accelerators, among others. 

Located in Northern New Mexico, the Regional Development Corporation (RDC) is a non-profit that supports economic development in the region. The RDC offers private investment opportunities and technical assistance to communities in 7 counties: Los Alamos, Mora, Rio Arriba, Sandoval, San Miguel, Santa Fe, Taos, and the municipalities and Native American Pueblos therein.

The Tribal Economic Diversity Fund offers grants of up to $8,000 for Native American-owned businesses headquartered in specific counties in Northern New Mexico. To be eligible, businesses must be owned by federally recognized Indian tribes or enrolled members of those tribes. The grant funds can be used for equipment purchases or critical technical services.

RDC’s Micro-Grant Fund is open to businesses in the same counties as the Tribal Economic Diversity Fund, and offers small grants of up to $3,000. These grants can assist businesses with diversification, increasing profits, maintaining revenue, and leveraging other investments.

In addition to these state-specific programs, entrepreneurs should check with their local and regional economic development organizations, as there may be other grant opportunities available.

Private Small Business Grants for Indigenous-Owned Businesses

Grants are popular because they offer funding that does not have to be repaid. 

If you are an indigenous business owner looking for a grant, you can start with the list of grants available above, but don’t limit yourself to just grants for Native-owned businesses. 

You certainly should seek those out, but casting a broader net may provide more opportunities for funding.

Here are three esources that can be helpful as you search for grants for your business:

• Nav’s Business Grants Resource Directory
• Opengrants.io
• GrantWatch

Native American Business Development Resources

Money isn’t the only resource that can help a business succeed. Many business owners, especially those who are starting a business for the first time, find it helpful to get a mentor and to learn from experts and organizations that can help them launch and grow their business.

Organizations that provide this support include:

The National Center for American Indian Enterprise Development

With the motto, “We mean business,” the NCAIED supports Indigenous entrepreneurs and businesses through training and resources, supply management and technical assistance to both tribal owned and individually owned businesses, advocacy, and more. Its Res conference is extremely popular, and it is in the process of launching Native Edge Finance with a focus on renewable energy projects.

Sister Sky Inc. 

As mentioned above, Sister Sky offers a variety of educational resources, including virtual, hybrid and online webinars and training. Be sure to include them in your research for small business resources.

Accion Opportunity Fund (AOF)

Accion Opportunity Fund supports small business owners with loans featuring reasonable interest rates and repayment terms, educational resources, coaching, and support networks in English and Spanish. AOF’s Financial Learning Center offers free, on demand training in a variety of financial topics. 

U.S. Small Business Administration 

In addition to SBA loans, the SBA offers a variety of loan programs and resources that include free mentoring and free or low-cost training from a variety of SBA resource partners. Find local resources here. 

Alternatives to Small Business Grants

While grants offer funding that doesn’t need to be repaid, they can be highly competitive and often have specific requirements that may not fit your immediate business needs. Or the amounts may be too small to accomplish your goals. 

Even when grants are available, many successful Native entrepreneurs also use business financing to fund their businesses. Loans can provide more immediate access to capital and often offer more flexibility in how the funds can be used. 

Here are several loan options that can benefit small business owners:

Microloans

Native Community Development Financial Institutions (CDFIs) and tribal organizations offer microloans specifically designed for Native American entrepreneurs. These are often low-interest loans made by community-based nonprofit lenders. You can also look beyond these programs to other microloans from Accion, as well as SBA Microloans (made by participating lenders). 

These smaller loans, typically under $50,000, help support business startups and expansions within communities that have trouble accessing credit. They usually come with technical assistance programs designed to help small businesses succeed. 

Learn more about microloans here. 

Crowdfunding

Native entrepreneurs may leverage various crowdfunding platforms to raise capital while sharing their cultural heritage and business vision. Some platforms, like Native-owned People’s Partner for Community Development, specialize in supporting Indigenous businesses. 

Options include reward-based crowdfunding where supporters receive products or experiences, and investment-based crowdfunding that allows community members to invest in Native-owned businesses.

Learn more about crowdfunding here. 

SBA Loans

The SBA offers several loan programs that are helpful to traditionally underserved business owners, including Native entrepreneurs. 

These include traditional 7(a) loans, microloans, and the Indian Loan Guarantee Program. The ILGP offers loans to qualified businesses and individuals for operating capital, equipment purchases, acquisition and refinancing, building construction, and lines of credit. 

While these loans are processed through approved lenders, the SBA’s Native American outreach specialists can help entrepreneurs navigate the application process and connect with appropriate lenders.

Learn more about SBA loans here. 

Business Credit Cards

Business credit cards can provide entrepreneurs quick access to working capital without requiring extensive business history. Most require good or excellent personal credit, though there are a few credit card options for bad credit. Many card issuers work with tribal members to consider alternative forms of income verification, including tribal distributions. Some cards offer rewards on common business expenses and can help establish business credit history separate from personal credit.

Find credit cards for your business here. 

Native American Bank

Native American Bank is a full service bank with an emphasis on serving Tribes, Tribally-owned enterprises, Alaska Native Village Corporations and businesses owned by individual Native Americans and Alaska Natives. It offers a variety of small business loans and participates in the following government guaranteed loan programs:

• US Department of Interior-Indian Energy & Economic Development (BIA)
• US Department of Agriculture/Farm Services Administration (USDA)
• Small Business Administration (SBA)

Bottom Line

Native American entrepreneurs have access to a variety of financial resources and support services designed to help their businesses succeed. From federal grants and specialized loan programs to dedicated business development resources, these resources can help overcome traditional barriers to funding that many Indigenous business owners face.

The key to success often lies in exploring multiple funding sources while taking advantage of available training and mentorship opportunities. 

Organizations like Sister Sky, the National Center for American Indian Enterprise Development, and the resources backed by the SBA’s Office of Native American Affairs can provide valuable guidance. 

Whether you’re just starting out or looking to expand your existing business, take time to research and connect with these resources. Your entrepreneurial vision not only builds economic opportunity for your family but also strengthens the broader Native business community.

How Nav Can Help

Nav can help you start and grow your business. Learn how to establish business credit, and build strong business credit scores to increase funding and business opportunities. 

With Nav Prime, you can track your business and personal credit in one place. And you can easily and quickly track your cash flow in one place with Cash Flow Health. 

Get started now.