New study fuels hyperlocal efforts supporting black women-owned businesses 3/8/21
(BPT) — Minority-owned businesses are the cornerstone of their communities, and over one-third of Black-owned businesses in the U.S. are headed by women — the highest share of any ethnic group. Yet according to Visa’s new Black Women-Owned Business Report 2021, nearly three quarters (71%) of Black women-owned businesses estimate they can’t survive another year under current pandemic conditions.
In the wake of the pandemic, small and medium-sized businesses nationwide have taken a major hit, with minority businesses suffering the most devastating blows. While more than half (54%) of businesses surveyed for Visa’s new report stated their business was positively impacted following the Black Lives Matter movement in Summer 2020, more than three quarters (78%) of businesses who saw benefits have said those increases have ceased.
The successes of Black-owned business are hard fought, as the Federal Reserve reports Black-owned businesses are less likely to be approved for bank loans, with an approval rate of only 46.5% (compared to 75.3% for white-owned businesses). Visa’s study supports this data, finding nearly one third (31%) of Black women-owned businesses stated raising capital and funding to stay afloat was one of their biggest challenges since the pandemic hit the U.S.
READ MORE -https://www.cali.fm/black-women-owned-businesses/