By: First Union | Date:
Latino Small Business Owners: The Fast Growing Group
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In the past decade, the number of entrepreneurs nationwide grew 1%; that statistic however for Latino business owners is 34% and this number continues to increase as more and more Latinos are applying for small business loans to get their ideas off the ground.
Yet another impressive figure: annually Latino entrepreneurs contribute approximately 500 billion in sales to the US economy. Without question, they are becoming a major force in terms of the country's economic landscape.
Those businesses owned by Latinos employ over 3 million (based on a 2019 study/). And consequently, they account for 4% of the nation's revenue. That said, Latino owned firms still tend to be smaller than white-owned companies, though this too is starting to shift.
Some Other Key Statistics…
As far as the kinds of businesses in which Latinos are making their mark, among others: manufacturing, healthcare, finance, and construction. They also tend to be younger businesses, as on average Latino business owners fall into the below 45 age range. And impressively, for every 100k Latino adults, per month, over 500 became entrepreneurs (this based on a 2018 study/).
Latino Business Owners and Funding
One of the problems that Latino business owners have encountered, not unlike numerous other business owners, is the availability of funding for their small companies and firms. They are running into high-interest rates due to insufficient credit histories or because they lack the collateral necessary to secure the loan. And yet that hasn't stopped them from trying to find the resources they need to start and grow their businesses. A 2019 study found that Latino loan applications were up 23% from 2018. Their economic position is rising, and their companies are expanding despite financial hurdles they may encounter.
At First Union Lending, we love helping Latino and other minority-owned businesses grow. It's not about trying to block your path to success, but rather finding a reason to say yes. Call today and let's get started together!