Melissa Bradley-led DC Nonprofit is Halfway To $50M Fund For Underserved Startups

Melissa Bradley-led Black Economic Alliance Entrepreneurs Fund is halfway through its goal of raising $50 million to support young and underserved startups.

According to a report filed with the Securities and Exchange Commission last week, the fund has raised $28.5 million and is led by serial venture capitalist Melissa Bradley.

The D.C.-based fund will focus on serving a broader range of “overlooked and underserved” entrepreneurs and companies beyond the seed stage up to Series B rounds.

The Black Economic Alliance Entrepreneurs Fund

Founded in May 2021, the DC nonprofit supports pre-seed and seed-level startups led and founded by Black entrepreneurs. The fund’s anchor sponsor, Wells Fargo & Co., committed $20 million over five years to operations and investments.

Bradley told The Washington Business Journal that the fund’s plan and reach have expanded. The fund’s investment will now focus on young companies specializing in products or services in four key areas: financial inclusion, health and wellness, sustainable communities, and what she called “narrative change”—companies focused on disrupting existing industries.

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“There’s a real market opportunity, particularly within those four pillars, to fill a much-needed capital gap to help businesses go from $1 million to $3 million and begin to position them for larger investments and ultimately an acquisition,” she said.

Furthermore, the Black Economic Alliance Entrepreneurs fund will look to back companies beyond the seed stage to Series B rounds. “There has been a significant amount of funding, particularly post-George Floyd and post-COVID, that has gone to pre-seed and seed companies, but the target raise post-seed to Series A has declined,” she added.

Building in Stealth

Bradley has spent decades creating deals for underserved entrepreneurs and connecting with investors with a track record of backing innovative founders. With this unique experience, she brings a wealth of knowledge to this role. She was tapped by the nonprofit organization as Managing Partner in 2024, 

The fund has been operating in stealth mode since its launch, and Bradley said it’s only because it filed the public disclosure with the SEC last week that she’s talking about it now. “We have been intentional about staying off the radar,” she said. “We have several law firms who’ve advised us to kind of keep a low profile.”

This is due to the number of companies scaling back DEI initiatives nationwide. Nevertheless, Bradley remains confident that the Entrepreneurs Fund will be able to stick to its mission and won’t face a fate similar to that of the Fearless Fund.

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“Our overall goal is the close the wealth gap,” she explained. “And when you think about those who are impacted by the wealth gap, you tend to see communities of color, particularly Black and brown communities. So that stands true, whether it is us doing that directly [by investing in] founders who are diverse and or through founders helping diverse communities.”

Main Image: Melissa Bradley