September 29, 2022 (Arlington, VA/San Diego, CA) – There has been a historic jump in new businesses in recent years, according to data from the U.S. Census Bureau. A record 5.4 million applications for new businesses were filed with the IRS in 2021, exceeding the 4.4 million applications filed in 2020, which was also a record.
To show up for America’s small businesses like they’ve been showing up for communities across the country, Mastercard is expanding one of its signature small business initiatives into new territory, setting up shop with Strive USA.
“Because small businesses are so essential to the U.S. economy, the barriers that stand in the way of their success also stand in the way of shared prosperity and growth,” said Shamina Singh, founder and president of the Mastercard Center for Inclusive Growth. “The American spirit of entrepreneurship has endured through every challenge of the last few years. Now, we have an opportunity and a responsibility as a community of small business enablers to match their drive to survive and thrive, meeting them at this turning point with support tailored to what they need most. As we see it, supporting small businesses in these targeted ways at this moment in time can create a ripple effect that carries forward the work of building an economy that promises opportunity for everyone, everywhere.”
Meeting the Moment
Strive USA will join together and strengthen an ecosystem of organizations primed to address three common challenges small businesses are confronting:
Getting Capital
To enable small businesses to access capital more efficiently Strive USA will help Community Financial Institutions (CFIs) expand their impact.
Going Digital
To make it easier to do business in the modern marketplace, Strive USA will work with tech-oriented partners to offer tools and resources that help small businesses digitalize their operations and transition to tech-forward ways of working. A recent OECD report outlined several reasons why it’s critical for small enterprises to go digital, including that gaps in digital adoption can ultimately “contribute to increasing inequalities among individuals, firms, communities and places.”
Growing Networks & Know-How
To help small businesses withstand current and future pressures, Strive USA will create opportunities for owners to tap into training, education, and mentorship through connections with expert organizations, primarily at a local level.
“We want small businesses to do more than survive — we want them to thrive, and together with our digital tools and resources, cyber solutions, and expansive network of partners, we’re able to make a real impact on the individuals and communities they support,” said Ginger Siegel, North America Small Business Lead at Mastercard.
Strengthening an Ecosystem of Enablers
Over the next five years, Strive USA aims to provide support to five million small businesses in the U.S. By forging partnerships and providing grants to organizations working directly with small businesses, Strive USA is envisioned to be a comprehensive resource and rallying force for Main Street.
Initial grantees include:
- CNote: An impact platform that uses technology to unlock diversified community investments to increase economic mobility and financial inclusion.
- Community Reinvestment Fund, USA (CRF): Supports mission-driven organizations through the development of products and services aimed at increasing the flow of capital to communities across the country.
- Momentus Capital: Rooted in social mission, Momentus Capital provides a continuum of financial, social, and knowledge capital for small businesses and community development organizations at every growth stage to support economic mobility and wealth creation in communities.
To ensure Strive USA small businesses have wrap-around assistance, the initiative will also work with a diverse set of public, private and social sector partners. Current supporters include Capital One, which continues to offer and build a diverse suite of financial products, tools and services designed specifically for business owners with varying financial needs to help them move their business forward and keep their communities thriving.
In cooperation with additional partners at the local level, targeted programming will begin in Atlanta, Birmingham, New Orleans, New York City and St. Louis.
What They’re Saying
Catherine Berman, CEO of CNote: “There is a tremendous opportunity in the United States today to harness the power of technology to provide transformative financial services to communities. Mastercard’s leadership in this field has been a game-changer for CNote, and we couldn’t be more excited for the launch of Strive USA, which will support millions of businesses to thrive in the digital economy.”
Frank Altman, co-founder and CEO of CRF: “All of us at CRF are thrilled to expand our partnership with Mastercard. Mastercard understands the important role CDFIs like CRF play in helping small business owners overcome barriers to growth. Together, we can harness innovation and build the digital capacity of small businesses and the organizations that support them.”
Ellis Carr, president and CEO of Capital Impact Partners and CDC Small Business Finance, each part of the Momentus Capital branded family of organizations: “From lending and technical assistance to impact investments and access to technology, it is important that entrepreneurs have access to a continuum of financial, knowledge, and social capital that break down barriers to success. We are excited to have the support of the Mastercard Strive program, which will allow us to provide innovative solutions so that all people and communities have access to the capital and opportunities they deserve.”
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About Momentus Capital
The Momentus Capital branded family of organizations refers to the combined operations of Capital Impact Partners and CDC Small Business Finance, as well as their affiliates, Momentus Direct Capital, and Momentus Securities (an SEC-registered broker-dealer, MSRB-registered, FINRA/SIPC member). While each organization under the Momentus Capital brand still operates as a separate entity, its clients now have access to more resources and products.
The Momentus Capital branded family of organizations is transforming how capital and investments flow into communities to provide people access to the capital and opportunities they deserve. We are working to reinvent traditional financial systems by offering a continuum of financial, knowledge, and social capital to help entrepreneurs, community-based organizations, and local leaders at every growth stage to build strong communities and create generational wealth.
This includes a comprehensive package of loan products, impact investment opportunities, training and business advising programs, and technology solutions that advance locally-led solutions.
Leveraging more than 80 years of combined experience, more than $3 billion in assets under management, and strong community engagement, the Momentus Capital branded family of organizations has delivered $24 billion in financing, created and preserved 298,000 jobs, and served 14,350 small businesses and 6 million people across our history.
With headquarters in Arlington, Virginia, and San Diego, California, Momentus Capital operates nationally with a focus on larger urban areas and cities in Arizona, California, Georgia, Michigan, Nevada, New York, Texas, and the Washington D.C. metro area.
Learn more at momentuscap.org.
About the Mastercard Center for Inclusive Growth
The Mastercard Center for Inclusive Growth advances equitable and sustainable economic growth and financial inclusion around the world. The center leverages the company’s core assets and competencies, including data insights, expertise and technology, while administering the philanthropic Mastercard Impact Fund, to produce independent research, scale global programs and empower a community of thinkers, leaders and doers on the front lines of inclusive growth. For more information and to receive its latest insights, follow the center on Twitter and LinkedIn and subscribe to its newsletter.
About Mastercard (NYSE: MA)
Mastercard is a global technology company in the payments industry. Our mission is to connect and power an inclusive, digital economy that benefits everyone, everywhere by making transactions safe, simple, smart and accessible. Using secure data and networks, partnerships and passion, our innovations and solutions help individuals, financial institutions, governments and businesses realize their greatest potential. Our decency quotient, or DQ, drives our culture and everything we do inside and outside of our company. With connections across more than 210 countries and territories, we are building a sustainable world that unlocks priceless possibilities for all.