How to Show Support for Black Female Business Owners

How to Show Support for Black Female Business Owners

August is National Black Business Month, a time that recognizes Black-owned businesses throughout the country. Black business owners account for roughly 10% of U.S. businesses, which amounts to about two million individual shops and eateries around the country. What you may not know is that roughly 17% of Black women are in the process of, or currently, running a business. In fact, they’re launching businesses at a higher rate than white men. 

However, only 3% of Black women are running mature businesses, which can be attributed to unequal distribution of resources and the fact that 61% of Black women self-fund their total start-up capital. 

Navigating the racial and gender disparities around business ownership is essential to Black women’s entrepreneurial and long-term success. So how can your business show support? In this guide, we’ll explore the immediate efforts that you can make to support female black small business owners and accelerate change. 

How to Support Black Female Businesses, According to Black Female Business Owners

In order to support as a consumer or fellow small business owner, it’s essential to listen to Black female business owners and learn about their own entrepreneurial experience.

For example, Christina Blacken, the founder and chief story strategist of The New Quo, an inclusive professional consultancy firm, believes it’s important to understand the nuance behind Black business ownership:

“Supporting us means seeing us as equals and experts and not assuming our skills, services, and creations are less than, which has been the common narrative when discussing supporting Black ideas, creativity, and business."

According to Black women, supporting Black female business owners and other Black-owned businesses involves taking intentional and informed action by:

• Listening – Racially influenced biases and hurdles accompany many African American and Black women along their entrepreneurial journey. Black entrepreneur Christina Blacken based her entire business plan around this principle—to tell stories that instigate awareness and societal change. To show support, it’s important to listen to these stories and rewire your mindset and prejudices accordingly to provide holistic solutions and support to Black business owners.
• Understanding – Black entrepreneurs face numerous barriers when running a business. In fact, Black business owners comprise only 3% of venture-back capital. Acknowledge and understand that Black female business owners in your area most likely do not have the same benefits as other local business owners, and support them accordingly, whether through financial or professional support.
• Sponsoring – Sponsoring Black-owned businesses is one way to combat the societal barriers Black women face when starting and running a business. Contributing to their business monetarily can start to close the gap of economic disparity and help to build their network and professional growth opportunities. This may include revenue-generating support, such as client introductions, technology sponsorships, and PR assistance.

How Businesses Can Support Black Female Business Owners

The number of Black small business owners fell by 41% between February and April of 2020, largely due to the COVID-19 pandemic and its effect on small businesses. What’s more, the median wealth of Black Americans is estimated to drop to $0 by 2053 if current trends continue. 

So, as a business owner, how can you help to support your fellow African American entrepreneurs?

If you’re looking to support Black women business owners in a meaningful way, there are numerous ways to drive positive change within your community and within your business:

• Increasing visibility – One of the biggest things you can do to support Black-owned businesses is to let others know about them by sharing social media posts, mentioning them on your business’s social media, or writing about them in your weekly newsletter to customers. No matter your medium, creating visibility around the women and Black-owned businesses in your area can provide the financial and communal support they need to thrive.
• Identifying needs – If you wish to support a Black female business, don’t be afraid to reach out to the business owner to ask how they’d like to be supported. Maybe it’s by donating to their merchandise fund or maybe it’s sharing their upcoming events with friends and family. Either way, the business owner will know what their business needs the most, and it’s helpful to build a strong professional relationship or friendship in the process.
• Being a consistent advocate – Support local Black-owned businesses beyond designated holidays. Instead, be intentional about your business’s purchases and aim to support Black businesses throughout the year by referring others to the business, engaging in their social media posts, and submitting positive reviews of the business. Consistent support can help stabilize businesses and create more opportunities within the Black business community to build savings, property ownership, good credit, and generational wealth. 
• Sharing with your circle – Even though good marketing campaigns can be vital to a business’s success, they can also be costly to small businesses. Spread the word by sharing the business’s accolades with your community members, from coworkers to in-laws. It’s free and beneficial to local shops.
• Investing – Invest in the Black female businesses you love with financial support. When small businesses are economically empowered with a strong financial foundation, they are able to create more jobs and close the gap between racial and gender inequalities within their communities, and beyond. 
• Offering mentorship and resources – If you have experience running a business or know someone who does, ask the business owner if they’d be interested in a mentorship that supports their business with technical skills, learned experience, or a network of like-minded entrepreneurs. With access to more resources and potential partners, Black female business owners can continue to build their businesses alongside a support system that understands what it takes to succeed.
• Dedicate your shelf space to Black brands - Inspired by New York City entrepreneur Aurora James, The 15 Percent Pledge encourages top retailers like Vogue and Bloomingdale’s to dedicate a minimum of 15% of their shelf space to Black brands since Black Americans make up 15% of the country’s population. Even if your business is on the smaller side, take the pledge to support your community and Black female business owners near you.
• Match employee donations – Encourage your employees to financially support black female businesses by matching their donations to Black-owned or Black-serving businesses and organizations. By matching donations, you can communicate your company’s values and commit to strengthening the Black community.
• Educate yourself - Understand the disparities faced by Black female business owners in comparison to businesses that are white-owned. According to Fortune Magazine, unrestricted donations to Black-owned businesses are 76% smaller than those of white-owned businesses.
  
  Holistically, Black families have had less access to federal mortgage lending and physical bank branches, hindering their economic growth and well-being. If you did not experience the same disparities as a business owner, be cognizant of these inequalities and continue to share your power, privilege, and resources with the Black community to amplify their voices, products, and services. 
  
  

How To Find Local Black Female Businesses 

You can support local Black female businesses in-person or online. To start, visit databases to find a local Black female business in your area:

• Black Business Green Book – Founded by civil rights advocacy group, Color of Change, the Black Business Green Book was launched to provide support to Black businesses during the COVID-19 pandemic. Now, you can shop by state or industry, including booksellers, home goods, and fashion to find a local business you wish to support.
• Shop Black Owned – The database currently caters to eight U.S. cities: Boston, Charlotte, Chicago, Dallas, Los Angeles, New York City, San Francisco, and Seattle. The map-based tool is free and lists over 1,000 Black-owned businesses, with more being added every day. 
• WeBuyBlack – Founded in 2015, WeBuyBlack is one of the largest global e-marketplaces for Black-owned businesses. It provides customers with ways to make the switch from big-name brands to Black-owned brands, with deals on such items as clothing, head wraps, and beauty products.
• EatOkra – For those looking to indulge in a delicious meal, EatOkra provides a database of Black-owned restaurants and food events in your area. The app, which features over 2,500 restaurants and food trucks around the United States, allows customers to search by location or cuisine type. Then it’ll either provide directions to the eatery, provide you with a rideshare option, or connect you for food delivery. 
• Chez Nous Guide – The database is a volunteer-led inclusive and intersectional database for marginalized businesses, artists, and organizations. When using the site, you can narrow down your options with industry and location preferences to find local businesses led by women, BIPOC, and LGBTQ+ merchants and entrepreneurs.

National Black Business Month is the perfect time to listen and learn about the entrepreneurial experiences of Black female business owners near you. Educate yourself and use that knowledge to further support Black businesses this month and beyond.

Sources: 

Business Insider. How to go beyond buying and truly support Black-owned businesses, according to 4 Black entrepreneurs. https://www.businessinsider.com/how-to-support-black-owned-businesses-according-to-black-entrepreneurs-2020-6

Fortune Magazine. The funding gap between Black- and white-led organizations is clear—and alarming. https://fortune.com/2020/09/28/black-lives-matter-leaders-philanthropy/

CNN. 'My Black Receipt' campaign encourages consumers to spend $5 million at Black-owned businesses through July 6. https://www.cnn.com/2020/06/24/business/my-black-receipt-businesses-yelp-trnd/index.html

Forbes. Black Female Entrepreneurs Are Launching More Businesses Than Ever: Here’s What They Need To Help Them Mature. https://www.forbes.com/sites/shelleyzalis/2021/05/25/black-female-entrepreneurs-are-launching-more-businesses-than-ever-heres-what-they-need-to-help-them-mature/?sh=41c59dcf6bc0

The Wall Street Journal. The Clubby World of Venture Capital Finds a New Bet: Black Entrepreneurs. https://www.wsj.com/articles/the-clubby-world-of-venture-capital-finds-a-new-bet-black-entrepreneurs-11624008600#.

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