The money is coming from a permanent endowment fund that a couple made about 30 years ago.
The couple were advocates for Louisville's LGBTQ+ community and people who had HIV/AIDS for decades.
Local nonprofits that serve LGBTQ+ youth can apply for a grant of up to $20,000 through this initiative.
There will also be an information session on June 13 for anyone interested in learning more about this fund.
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The Charities Aid Foundation has set up a scheme, called the Social Enterprise Assist, that will render interest-free loans of up to £10,000 each to help social enterprise start-ups.