Zelle Funds Future Business Owners to Navigate Ownership Transfer

Event summary

  • Zelle, CBCF, and CDI have launched a scholarship program for MBA students pursuing Entrepreneurship Through Acquisition (ETA) at five HBCUs.
  • Ten students from Claflin, Howard, Jackson State, Morgan State, and Virginia State Universities have been selected as the inaugural scholarship recipients.
  • Each recipient will receive a $10,000 tuition grant.
  • The scholarship aims to support aspiring small business owners amidst a projected transfer of ownership from 2.9 million baby boomers by 2035.

The big picture

Zelle's scholarship program represents a strategic effort to address the looming 'silver tsunami' of small business ownership transitions. By investing in ETA programs at HBCUs, Zelle aims to cultivate a pipeline of diverse entrepreneurs capable of acquiring and growing existing businesses, potentially mitigating job losses and stimulating economic activity in underserved communities. This initiative also positions Zelle as a supporter of Main Street businesses, aligning with broader trends toward financial inclusion and community development.

What we're watching

Program Scale
The long-term success of the scholarship hinges on Zelle's commitment to expanding the program beyond the initial ten recipients and five HBCUs, demonstrating a sustained investment in ETA.
ETA Adoption
The effectiveness of ETA programs in preparing students for business acquisition will be a key indicator of the scholarship's impact on the broader small business landscape.
Wealth Distribution
Whether the scholarship recipients can meaningfully contribute to wealth creation within underserved communities will be a crucial measure of its social and economic impact.

Related topics

Financial Services