Arizona Hispanic Chamber of Commerce
255 E Osborn, Suite 201 Phoenix, AZ 85012
Phone: (602) 279-1800 Fax: (602) 279-8900
Contact us at: info@azhcc.com

Minority Entrepreneurs

Q: As a woman and a minority, I figure there has to be some special help and resources available to me. I have done a bit of research, but it all seems fairly overwhelming. Where do you suggest I start?

Ann

A: Here is a depressing statistic: According to BusinessWeek (November 16, 2004), while minorities make up about 27 percent of the population of the country, only 14 percent of all U.S. businesses are minority-owned.

But there is also plenty of good news. According to the Ewing Marion Kaufman Foundation:

  • African Americans are more likely than any other group to engage in entrepreneurship. Indeed, Blacks are roughly 50 percent more likely to begin a start-up business than Caucasians, and Hispanic men are roughly 20 percent more likely to start a business than Caucasian men.
  • Of every 100 black men with a graduate degree, 26 percent will start a new business. This compares to 20 percent of Hispanic men and 10 percent of white men.

So it should be no surprise that there are a lot of resources out there these days trying to help these would-be women and minority entrepreneurs become successful.

For example, in 2004 the National Urban League joined forces with the Small Business Administration and the Ewing Marion Kauffman Foundation to create the Urban Entrepreneurship Partnership (UEP). This program was created to provide access to capital as well as counseling and mentoring for new minority entrepreneurs. One of the unique features of this program is that is endeavors to be a "one-stop shop" - that is, new business owners can go to one place and find training, coaching, and financing under one roof.

The first of these centers opened last summer in Kansas City, Mo, and other pilot programs are scheduled to open in Atlanta, Cincinnati, Cleveland, and Jacksonville. After that, the plan is to roll the program out nationwide.

Beyond the UEP, there are several other very worthwhile programs out there helping women and minority entrepreneurs:

  • The Commerce Department's Minority Business Development Agency (MBDA) helps minority businesses via a network of Minority Business Development Centers (MBDCs) throughout the country. These Centers provide counseling on everything from marketing and management to business plans and finances. Check out www.mbda.gov/.
  • The SBA 8(a) Business Development Program assists socially and economically disadvantaged small business owners by offering access to capital, business and technical assistance, and other sorts of trainings. Find out more at www.sba.gov/8abd/indexfaqs.html.
  • The SBA also has an office specifically intended to help women entrepreneurs - the Office of Women's Business Ownership (OWBO) with centers in almost every state. The OWBO offers mentoring, business counseling, and access to capital. Check out www.onlinewbc.gov.
  • The Women's Business Enterprise National Council (WBENC) certifies businesses as women-owned which enables them to better bid on contracts with governments and major corporations. www.wbenc.org.
  • The National Women's Business Center (a group I work with) offers programs, seminars and trainings for women-owned businesses. www.wbiznet.biz.
  • Finally, there is the U.S. Women's Chamber of Commerce (www.uswomenschamber.com) which offers business and leadership development programs, among other useful programs.

At a time when the influence of minority and women entrepreneur is increasing, it is great that programs like these are available.

Today's tip: Don't forget - I am looking for your best business strategies - those tried and true ideas that help you grow your business and which might help other entrepreneurs grow theirs. I will feature your best ideas in an upcoming column, and some will also find their way into my next book. So don't be shy - I have received some great ideas already and want to hear some more. What's yours? Email me at sstrauss@MrAllBiz.com.