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Creating Their Own Lanes: How Black Women Are Leading the Entrepreneurial Movement


Black women leading entrepreneurial moment

In recent years, the entrepreneurial landscape in the United States has undergone a significant transformation, with Black women emerging as the fastest-growing group of business owners. This trend not only highlights the resilience and innovative spirit of Black women but also signals a positive shift in economic empowerment for a historically marginalized group.


A Surge in New Businesses

The entrepreneurial spirit among Black women has been nothing short of explosive. Since the onset of the Covid-19 pandemic, there has been a staggering 70% increase in the number of new Black women-owned small businesses


This surge demonstrates not only resilience in the face of adversity but also the ability to identify and seize new opportunities in a changing economic landscape.


Leading in Entrepreneurship Rates

As of 2021, 17% of all Black women were either launching or running businesses of their own. This rate surpasses that of white women (10%) and even white men (15%), positioning Black women at the forefront of entrepreneurial activity in the United States


Long-Term Growth Trend

The rise of Black women entrepreneurs is not a recent phenomenon. Between 1997 and 2017, the number of Black women-owned businesses grew by an impressive 605%, outpacing every other demographic group. This long-term trend underscores the persistent drive and determination of Black women to create their own economic opportunities.


Post-Pandemic Resilience

The entrepreneurial spirit of Black women has shown remarkable resilience in the face of the global pandemic. Black women now make up 10% of total entrepreneurs surveyed in recent reports, representing a significant increase in Black women-owned businesses started prior to the pandemic.


Driving New Business Creation

Between 2014 and 2019, African American women started 42% of net new women-owned businesses, three times their share of the female population (14%) This statistic highlights the outsized role Black women are playing in driving new business creation and economic growth in the United States.


A Growing Force in the Business World

As of 2021, Black women own nearly 2.7 million businesses nationwide. This significant presence in the business landscape is a testament to the growing influence and economic power of Black women entrepreneurs.


Overall, entrepreneurship is becoming more diverse, with 29% of U.S. microbusinesses now owned by respondents identifying as Black, African American, Asian, Pacific Islander, American Indian, Alaska Native or multiracial entrepreneurs, compared to 17% in 2019.


The rise of Black women entrepreneurs represents a powerful story of resilience, innovation, and determination. Despite facing historical barriers and ongoing challenges, Black women are leading the charge in business creation and growth, reshaping the entrepreneurial landscape of America.


This trend not only contributes to individual economic empowerment but also has the potential to create jobs, drive innovation, and build wealth in communities across the nation. As we celebrate this progress, it's crucial to continue supporting and investing in Black women entrepreneurs, ensuring they have access to the resources, mentorship, and capital needed to thrive and grow their businesses.


The success of Black women in entrepreneurship is not just a win for one demographic group—it's a win for the entire American economy, driving diversity, innovation, and economic growth for all.


By Davina Shorter (2024)



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