The goal of this report is to support the council in establishing a knowledge base about
women business owners’, leaders’, and entrepreneurs’ access to capital. This report represents
a high-level situational analysis, exploring major issues and developments affecting women
entrepreneurs to inform the NWBC’s framework for defining research priorities and engagement
efforts.
Resource Category: Microbusiness
Tax Law Won’t Help Small Businesses Grow
A scientific opinion poll performed in four Senate battleground states and with a +10 Republican sample (41% R, 31%D), significantly higher than the national average, shows the majority of small business owners will not be able to hire new employees or give raises because of the new tax law. When asked if they would hire a new employee as a result of the new tax law, 69% of the plurality Republican sample said they would not, while only 25% said they would. When asked if they will be giving their employees raises due to the new tax law, 59% said no, while 31% responded that they would.
Financing Patterns by Race and Ethnicity
The SBA issued “Financing Patterns and Credit Market Experiences: A Comparison by Race and Ethnicity for U.S. Employer Firms“. Hispanic and Black Americans are underrepresented in business ownership compared with their shares of the general population. Asians (73 percent) Hispanics (72 percent) and Blacks or African Americans (70 percent) rely on owner’s personal or family savings as a source of startup capital, while 65 percent of Whites relying on this source.
Latino Business Ownership
An important contributor to economic inequality in the United States is the large and persistent racial and ethnic disparity found in business ownership and performance. Blocked opportunities for minorities to start and grow businesses create losses in economic efficiency, especially through their effects on limiting job creation, wealth accumulation, innovation, and local economic growth. This report provides several new findings on Latino business ownership and success using the latest available Census Bureau data. Latinos are separated by U.S.-born vs. immigrant status to provide insights into the constraints faced in starting and running successful businesses.
Amazon’s Small Business Impact
Amazon released its first-ever Small Business Impact Report which found more than 1 million U.S.-based small and medium-sized businesses are selling on Amazon. That report needs to be digested along with the loss of local tax revenue and what happens to Main Street that was reported in Amazon and Empty Storefronts: The Fiscal and Land Use Impacts of Online Retail.
2016 Rural Firms Credit Survey
The physical location of rural small employer firms in less densely populated areas presents an economic, demographic and cultural context that is distinct from the one in which urban small employer firms operate. This Report on Rural Employer Firms compares the business and financing conditions of small employer firms located in rural areas to those located in urban areas. This report is part of a series of reports that use data from the 2016 Small Business Credit Survey (SBCS), a national data-collection effort by the twelve Federal Reserve Banks. All differences between urban and rural small employer firms highlighted in this report are statistically significant based on credibility intervals.
What Women Entrepreneurs Need to Thrive
Senator Jeanne Shaheen (D-NH), Ranking Member of the Senate Committee on Small Business & Entrepreneurship, released a report titled: “Tackling the Gender Gap: What Women Entrepreneurs Need to Thrive.” This timely study draws on interviews with 14 female entrepreneurs, who detail the obstacles they faced and how they overcame them, to highlight current initiatives and provide recommendations to eliminate the unique barriers confronting women-owned small businesses.
2016 Microbusinesses Credit Survey
This report is one in a series based on the findings of the 2016 Small Business Credit Survey (SBCS), a national collaboration of the Community Development Offices of the 12 Federal Reserve Banks. As a supplement to the Report on Employer Firms released in April 2017, this Report on Microbusinesses details findings on the financing experiences and outcomes of the smallest firms in the United States, including the self-employed.
2016 Women-Owned Firms Credit Survey
This report uses a unique dataset to examine the experiences of women-owned small employer firms, especially as compared to their men-owned peers. Small employer firms have traditionally played an important role in U.S. job creation,8 and women-owned firms are an emerging share of the sector. Understanding the opportunities and challenges facing this growing segment of women-owned employers can provide insight into future economic contributions of the sector overall.
2016 Minority-Owned Firms Credit Survey
This report is the third in a series of reports based on the 2016 Small Business Credit Survey (SBCS), a national collaboration of the Community Development Offices of the 12 Federal Reserve Banks. As a key financial regulator and economic policymaker, the Federal Reserve System plays an important role in ensuring fair access to credit and promoting economic growth for the well-being of all Americans. Small businesses are an important component of economic success and strong communities; they are responsible for 48% of private sector employees nationwide, are important drivers of local and regional economic growth, and are an important source of household wealth. A healthy small business environment depends on an array of factors, not least of which is the ability to access funds for starting up, scaling up, or maintaining operations. However, as a growing number of studies document, access to funds—whether debt, equity, or personal resources— can vary across race and ethnicity even when business owners are similar in other respects such as business performance and credit risk.