With this report, the Stanford Latino Entrepreneurship Initiative (SLEI) shares research from its 2016 Survey of U.S. Latino Business Owners. By examining issues specifically related to Latino entrepreneurs and the state of Latino-owned businesses, this report expands upon existing studies, including the 2015 State of the Latino Entrepreneurship report. Our data comes from a new, unique survey on U.S.-based Latino entrepreneurs meant to supplement and extend data available through the Kauffman Foundation and U.S. Census Bureau. The report and data provide academic researchers, policymakers, and business leaders with insights into U.S. Latino-owned businesses and the barriers they face to economic success.
Archives: Resources
The Missing Millennial Entrepreneurs
Entrepreneurship is lower among Millennials than among prior
generations. In 2014, less than 2 percent of Millennials reported self-employment,
compared with 7.6 percent for Generation X and 8.3 percent
for Baby Boomers. These differences largely reflect the youth of Millennials
and the positive relationship between age and entrepreneurship among the
relatively young. However, growth with age in the proportion of each
generation reporting self-employment has been slower for Millennials than
for prior generations. At age 30, less than 4 percent of Millennials reported
self-employment in their primary job in the previous year, compared with
5.4 percent for Generation X and 6.7 percent for Baby Boomers. Trends
among the age groups Millennials will join in future years suggest that
entrepreneurship among Millennials will remain relatively low for decades.
Undercapitalization and Women Entrepreneurs
One of the Council’s key areas of research is on women’s access to capital, a continual challenge for women entrepreneurs. Two of the NWBC’s FY2013 research projects demonstrate that accessing sufficient capital is a problem even for high-growth women-owned businesses. We have learned that women-owned firms face unique challenges because there are significant differences in undercapitalization that exist between men-owned and women-owned firms. First, Robb and Coleman concluded that startup capital is a key indicator of business success. This research confirmed that women start their business with nearly half the amount of capital as men, and further that women entrepreneurs raise substantially less equity and debt throughout the business lifecycle. In a second study, conducted by PQC Consulting, Inc, we learned, that all else equal, undercapitalization negatively impacts business survival.
Survey of Online Financing Companies
The DBO on Dec. 11, 2015, launched an inquiry into the so-called online, or alternative, lending sector. The inquiry’s objective is to determine whether market participants are fully complying with state lending and securities laws. It also aims to assess how the state’s regulatory regime is working, and should work, with respect to the industry.
The Tipping Point for Women’s Entrepreneurship
This Annual Report is a synthesis of the Council’s commitment to supporting women in business by producing best-in-class, actionable research on the most relevant issues facing aspiring and current women business owners and leaders, and identifying – through research and engagement – the unique barriers and challenges of women in pursuit of business.
Income of Veteran Business Owners
This study examines the financial success, measured by income and net worth, of households headed by military veterans. The study focuses on comparisons of income and net worth for three groups: (1) veterans and non-veteran households; (2) veterans households with and without small business, and (3) veteran and non-veteran small business households.
Microbusinesses, Gainful Jobs
Read FIELD’s new report Microbusinesses, Gainful Jobs. They found that workers value the flexibility, fulfillment, and skill-building opportunities offered by their microbusiness jobs and 63% of respondents made wages at or above President Obama’s proposed increase to the minimum wage. They also found out that there’s a 1-5 cost-benefit ratio for micro business development (for every $1 of grant money spent on microbusiness development, $5 is created in economic activity) and microbusinesses create opportunity for those that struggle the most.
Best Cities for Minorities
Best Cities for Minorities: Gauging the Economics of Opportunity By Joel Kotkin and Wendell Cox for the Center for Opportunity Urbanism First published May 2015 This study provides an initial analysis of African-American, Latino and Asian economic and social conditions in 52 metropolitan regions currently and over the period that extends from 2000 to 2013.
Women’s Business Centers and their Performance
In collaboration with the SBA Office of Women’s Business Ownership, the Council worked with Carnegie Mellon University to review and analyze the effectiveness of Women’s Business Centers. Our hope was to gain an understanding of the Women’s Business Center network, what they need and how we can best support them. Download the report here and read our findings and recommendations for how best to support WBC’s.
Build Market-Relevant Microlenders
Joyce Klein of Aspen Institute’s FIELD program writes how impact investments can be used to scale microlending. The essay appears in a larger publication – Bottom Line – that addresses how impact investment can improve economic mobility in the U.S.