- Black Businesses
- And…Action! (new recurring section)
- The Goodies – This week’s highlight is that BALLE has opened the application process for their 2018 BALLE Local Economy Fellowship program. Applications are accepted on a rolling basis (so apply early!)
Black BusinessesAEO recently released a new report “The Tapestry of Black Business Ownership in America: Untapped Opportunities for Success.” The report assesses the economic strength and potential of Black-owned businesses, identifies myths, challenges and opportunities across a mosaic of segments, and suggests a plan for how investors and policymakers can increase the effectiveness of programs designed to support Black entrepreneurship. (See the report for the full graphic.) AEO President and CEO Connie Evans said:
Our findings show that in actuality, Black Americans have high entrepreneurial drive and the same motivations as other entrepreneurs, yet face three persistent barriers that operating together impede the establishment and growth of Black-owned firms. Understanding and addressing the unique interplay of these obstacles are crucial steps to unleashing the potential economic power of Black business ownership in America.The report describes three barriers: wealth gap, fewer assets and less disposable income to invest in business; a credit gap, decreased access to formal credit and high denial rates; and a trust gap, institutional bias that Black Americans have experienced, inhibiting them from applying to financial institutions for more capital, joining networks, creating valuable partnerships, and more. If Black-owned firms reached employment parity with all privately-held U.S. firms…
- 600,000 new jobs would be created;
- $55 billion of economic activity would be generated; and
- unemployment in the Black community would go down to 5 percent (many Black-owned businesses serve and hire from their communities and local dollars circulate more often in local communities than dollars spent at national chains.
And…Action!We are starting a new section of the Must Know — And…Action! — because the current political reality asks for greater participation in the process, both at the state and the federal level. Here is where we will list actions you can take to ensure the success of the micro sector. It may be helpful to appoint someone on your staff to be responsible for taking action. CalNonprofits has a quick survey on how the Trump administration is affecting the work you do as nonprofits — whether positively or negatively. Federal FY 2018 Budget The President’s outline of his budget priorities has landed in Washington with a dull thud and is proving to be very unpopular, even within his own party. Full details will be revealed in May. Usually, the President meets with agency department heads, but most of those meetings have been canceled. Congress will be meeting in the meantime to come up with their own budget. This opens up a big opportunity for us. What you can do:
- Email/Call/Fax your representative and ask them to sign on to this letter to support a robust funding for economic development and entrepreneurial programs under the SBA. (Find your rep by zip code on the right.)
- Email me your success stories about your program. Include what program, your grant information, what you did, what the outcomes were, and how it has impacted your community. Congress wants data!
- Join coalition activities, such as local support for CDBG funding, and let us know about them, so we can support them too.
- If your representative sits on the Appropriations Committee – Ken Calvert, David Valadao, Lucille Roybal-Allard, Barbara Lee, and Pete Aguilar – be prepared to visit them on their April break (April 10-21).
- There have been no FY17 grants awarded. Any reimbursements since September 2016 have been FY16 awards. Those reimbursements go from September 2016 to June 2017.
- No grants can be awarded under a CR. That goes for any agency.