August 1st kicks off National Black Business month. And although Black businesses should be supported year-round, all month long people across the country are encouraged to recognize and support Black-owned businesses.
Black woman owned business/Photo Credit: Isabelle Price
August 1st kicks off National Black Business month. And although Black businesses should be supported year-round, all month long people across the country are encouraged to recognize and support Black-owned businesses.
The origins of National Black Business Month can be traced back to 2004 when Frederick E. Jordan teamed up with John William Templeton, president and executive editor of eAccess Corp., a scholarly publishing company, to have August recognized as National Black Business Month.
Jordan and Templeton also encouraged local government officials, community leaders to address structural barriers that adversely and disproportionately impact Black-owned businesses—namely a lack of access to capital.
“It’s important that we take this time not just to promote Black Business Month, but support Black businesses,” said Ronald Busby, president and CEO of the U.S. Black Chamber of Commerce.
“As we reopen America, it’s important we acknowledge the wealth gap that exists between Black families and White families has grown. The real way to address the wealth gap through the creation of new black-owned businesses and broad support of those businesses. In order for there to be a Great America, there’s got to be a Great Black America,” he said.
Busby encourages readers to visit the U.S. Black Chamber of Commerce’s website to learn about programming, events and resources available to Black entrepreneurs and businesses.
Busby also acknowledged the impact the COVID-19 has had on the Black businesses, who he says were hit the hardest. According to a report by the House Committee on Small Business, between February and April 2020 Black business ownership declined more than 40%–which is noted to be the largest decline across any racial group.
According to the United States Small Business Administration’s Office of Advocacy there are more than 2.6 million Black-owned businesses in the U.S. Black businesses realized a 34% uptick from 2007-2012. Black-owned firms generate an average of $150 billion dollars in annual receipts.
Firms owned by Black women continue to grow at an exponential rate. According to Forbes businesses owned by Black businesses grew 67% from 2007 to 2012, compared to 27% for all women, and 50% from 2014 to 2019, representing the highest growth rate of any female demographic during that time frame.