Sheryl Sandberg Announces $20M Facebook Donation for Women, Minority And Veteran-Owned Businesses

Facebook Inc. FB COO, Sheryl Sandberg, announced Facebook’s grant of $20 million to small businesses owned by women, minorities, and veterans in the United States.

What Happened

Appearing on CNBC’s “Mad Money” on Wednesday, Sandberg said the $20 million would come from the $100 million small business grant program that Facebook announced in March.

Of the total grant amount, $40 million is to be channeled to U.S. businesses, while half that amount will go to women, minorities, and veterans. The money will be disbursed “within a few weeks.”

Sandberg acknowledged, “We know when crises hit the most vulnerable get hit the hardest.”

Why It Matters

Sandberg’s announcement comes a day after Facebook launched Facebook Shops, a service that helps companies sell their products on both the social network and Instagram. 

According to Aaron Goldman, CMO of 4C, a global insights company, Facebook Shops is the “right play at the right time,” considering it extends to Facebook, Instagram, WhatsApp and Messenger “to the tune of 3 billion monthly users.”

Facebook has partnered with Shopify Inc. SHOP to support small businesses on the Shops platform, through the use of commerce tools. 

Facebook Price Action

Facebook shares traded 0.80% higher at $231.80 in the after-hours session on Wednesday. The shares closed the regular session 6.04% higher at $229.97.