NEWS | NSBA Supports the SPARK Act to Expand Opportunity for Minority, Rural, and Underserved Entrepreneurs, Small Businesses

The SPARK Act invests in community-based support and direct financing to help minority, rural, and underserved small businesses launch, grow, and compete.

ANALYSIS | NSBA supports efforts to expand access to capital and entrepreneurial development resources, particularly for small businesses that have historically faced barriers in traditional financing markets. By pairing accelerator support with direct financing, the SPARK Act aims to create a more inclusive entrepreneurial ecosystem and improve long-term business outcomes.

Ensuring that underserved entrepreneurs have access to mentorship, infrastructure, and capital is essential to strengthening the small-business economy and driving broader economic growth.

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FEB. 11, 2026 | NSBA supports the introduction of the SPARK Act, legislation led by Senate Small Business Committee Ranking Member Edward J. Markey (D-Mass.) aimed at expanding access to capital and entrepreneurial support for minority and underserved small businesses.

Focused on supporting underserved entrepreneurs facing barriers to financing and business development support, Sen. Markey is leading the SPARK Act to ensure access to capital for minority-owned startups, rural businesses, and women- and other minority-owned businesses.

According to a release on the SPARK Act from Sen. Markey's office, there is growth in the number of these businesses launched by underserved entrepreneurs; however, these firms continue to report lower revenues, fewer employees, more limited access to capital, and lower survival rates.

The SPARK Act seeks to address these disparities by creating targeted programs to strengthen entrepreneurial development and expand financing opportunities.

RELATED | NSBA Names Access to Capital as Priority Issue for 119th Congress

As introduced, the legislation would create the SPARK Program, which would provide eligible organizations with a minimum of $500,000 annually for five years to establish or expand accelerator and incubator services for underserved small businesses. Funding would support administrative capacity, staffing, infrastructure, mentorship, networking, business counseling, and other wraparound services critical to business success.

Eligible organizations include nonprofits, Community Development Financial Institutions (CDFIs), Minority Depository Institutions (MDIs), SBA-participating lenders, Historically Black Colleges and Universities (HBCUs), Minority-Serving Institutions (MSIs), and community colleges.

By leveraging trusted community-based institutions, the SPARK Program aims to deliver localized, culturally competent support that helps entrepreneurs launch and scale sustainable businesses.

In addition to development support, the legislation would establish a SPARK Financing Program to provide direct financial assistance to underserved small businesses.

Eligible organizations could receive:

• Up to $1 million annually if also participating in the SPARK Program, or

• Up to $500,000 annually if participating solely in the financing program.

These funds could be used to provide grants of up to $20,000 or offer subsidized loans directly to underserved entrepreneurs.

The bill prioritizes support for minority-owned businesses, women-owned businesses, socially and economically disadvantaged individuals, veterans, individuals with disabilities, Native Americans, justice-impacted individuals, and small businesses located in rural and low- to moderate-income communities.

NSBA will continue to advocate for policies that expand opportunity, improve access to capital, and help small businesses across all communities succeed.

Read the full release here.