Starbucks investing $100 million in small businesses, community projects
Starbucks Corp. is launching a new initiative to support small businesses and community development projects in minority areas.
The coffee giant will invest $100 million (by 2025) to launch its Community Resilience Fund, which will support small businesses and community development projects in Black, Indigenous and people of color neighborhoods. The investments will initially be focused in 12 U.S. metropolitan areas and their surrounding regions: Atlanta, Detroit, Houston, Los Angeles, Miami, Minneapolis, New Orleans, New York City, Philadelphia, San Francisco Bay Area, Seattle and Washington, D.C.
The new initiative expands on Starbucks 2019 commitment to invest $10 million in four Chicago-based community development finance institutions CDFIs). It is also part of a wider plan by Starbucks to step up its commitment to racial and social equity, particularly in the neighborhoods where it operates cafes.
In partnership with community leaders, CDFIs and other impact-focused financial institutions, the Fund will help provide access to capital intended to support small businesses and neighborhood projects, including those addressing the inequitable impacts of climate change. As part of the initiative, Starbucks will work with partners to allocate funds to local CDFIs that will provide borrowers with access to capital, ongoing mentorship and technical assistance.
“Starbucks has always been a company focused on caring for our partners, creating experiences for our customers and playing a positive role in our communities and throughout society,” said Kevin Johnson, Starbucks president and CEO. “We are excited to make this investment as it aligns with our mission and values and supports our aspiration to advance equity and opportunity in the communities we serve.”
In October, Starbucks Corp. made a commitment to diversify the makeup of its workforce. It aims to have employees who identify as Black, Indigenous or people of color make up at least 30% of employees at all corporate levels and at least 40% of all retail and manufacturing roles by 2025.