This Black History Month, we honor African American small businesses operating in the U.S., and the long-standing impact they have on local communities and history.
There are an estimated 5 million Black entrepreneurs in the U.S. making up 14.5% of business owners in the country, according to the Assocation for Enterprise Opportunity.
Historically, African American businesses were susceptible to predatory lending practices that hindered their rise to success. Black entrepreneurship is a role that is inextricably resilient—continuously finding ways to excel economically within their communities.
The Impact of Black-Owned Businesses
Community Impacts: Black-owned businesses sustain cultural preservation, which creates communities where Black voices can be celebrated and shared.
In a study conducted by Pew Research Center, 40% of Black adults say small businesses in Black communities should be Black-owned. Having a community rich with culture and Black stories fosters sustainable entrepreneurship and community-based solutions.
Economic Impacts: On a national scale, Black-owned businesses contribute approximately $207 billion to the economy. According to Entrepreneurship in the Population, Black entrepreneurs are more likely to prioritize growth in their businesses despite systemic racial disparities.
Black-owned businesses also employ over 1.3 million W-2 jobs and are more likely to offer health benefits and profit-sharing than other employers.
How to Support Black-Owned Businesses
This Black History Month, be intentional in the way you support Black-owned businesses. Take this time to learn about Black-owned businesses and their voices.
Fresno Metro Black Chamber Foundation CEO Dr. Cassandra Little, and Lendistry customer, revitalized her community with significant environmental and economic benefits to the Fresno area, giving residents access to clean transportation.
Check out our blog, Celebrating Black-Owned Businesses for a list on how to support Black-owned businesses this Black History Month.