Black women entrepreneurs fuel economic growth
Despite 70% of U.S. citizens believing that the national economy is weak, American enterprise is experiencing significant growth. Over the past year, about 5.5 million Americans have applied to start their own businesses. This trend signals a promising shift in economic self-sufficiency and innovation.
According to the U.S. Chamber of Commerce, there’s a particular surge among Black women entrepreneurs. Business owners like baker Melanie Lewis and tech guru Shondra Collins represent this shift towards autonomy, financial independence, and community development.
This entrepreneurial trend transcends specific sectors, impacting industries such as tech, healthcare, hospitality, and retail alike. It is hoped that 2025 will continue this growth, particularly among women of color. These entrepreneurs founded enterprises at record rates and created growth-oriented firms that resulted in job creation and transformation.
Entrepreneurs like Lewis have big plans for their businesses. For instance, Lewis envisions taking her business Perfect Piece Sweets Co. to retail markets and even starting her own bakery.
Propelling economic growth: Black women entrepreneurs.
This push for expansion signals a desire to increase visibility and reputation through unique products and services.
However, despite this promising growth, Black entrepreneurs face significant structural barriers. A GoDaddy report found a 70% surge in businesses led by Black women since the pandemic started, but Federal Reserve Statistics show they are still twice as likely to have their loan applications rejected compared to their white counterparts. Only 10% of small business loans go to minorities, highlighting a grave disparity within the business sector.
Organizations like the Metropolitan Economic Development Association (MEDA) aim to address these challenges. They assist minority-owned businesses with obtaining loans and grants while offering business counseling and technical assistance. Successful businesses like Pimento Jamaican Kitchen and Breaking Bread Cafe and Catering owe their success, in part, to MEDA’s support.
Despite the structural bias in U.S. banking, Black entrepreneurs continue to persevere. Entrepreneurs like Tomme Beevas, owner of Pimento Jamaican Kitchen, and others are committed to turning their entrepreneurial visions into realities despite the obstacles. Oxiris Barbot, the health commissioner of New York City, states that entrepreneurship is a path towards financial independence and creating generational wealth.” Regardless of racial bias and economic adversity, these trailblazers are utilizing entrepreneurship to drive positive societal change.
