The trend of Black female entrepreneurs dominating the small business landscape continues. According to a new report from Wells Fargo, Black female entrepreneurs are generating over $100 billion in annual revenue despite being at a severe disadvantage.
Between 2019 and 2023, Black female business growth jumped to nearly 15% of all women-owned businesses. This bodes well for the economy as well as the Black community. However, Black female entrepreneurs still face substantial hurdles.
Looking at the breakdown of economic help given to small businesses, Black women-owned companies receive less than 2% of all venture capital funding. Venture capital investment isn’t only about investment capital; it also offers a slew of other benefits.
Venture capitalists have the ability to provide entrepreneurs financing, networking opportunities and strategic guidance, all of which can be beneficial to Black women as ways to boost the success of their business.
Despite the undeniable success and economic impact of Black women entrepreneurs, it remains a stark reality that they face significant challenges in accessing the necessary resources to sustain and grow their businesses. Still, they are able to generate success and significantly contribute to the larger economy.