Entrepreneurship is a powerful engine that drives economic growth, job creation, and innovation. However, for Black and Latinx small business owners and founders, accessing capital and resources necessary for success often presents significant challenges. Historical discrimination and ongoing biases have erected systemic barriers that make it difficult for minority-owned businesses to secure loans and investment on equal footing. Persistent opportunity gaps force many ambitious minority entrepreneurs to rely on personal savings and support from their communities rather than traditional financing through banks or capital markets. To foster a more inclusive and equitable entrepreneurial ecosystem, targeted policy and programmatic interventions are needed to provide greater access to credit, training, and networks.
Recognizing this pressing issue, The DEC Network partnered with EIC to address the capital gap among Black and Latinx entrepreneurs in Dallas County. With generous support from JPMorgan Chase, the team undertook an in-depth assessment and developed recommendations for effective remedies and interventions. In this white paper, we present actionable strategies to bridge the capital gap to enable the growth and prosperity of entrepreneurs of color.
Areas of Expertise
Whether you require data-driven market research, nuanced policy analysis, insights from community engagement, or strategic guidance, we are equipped to deliver valuable information and perspective. Our consultants take a thoughtful, evidence-based approach to every project. We leverage our expertise to provide customized support that meets the unique needs of each client.
As a company founded by an immigrant person of color who struggled to find the resources to grow his first small business, we are uniquely positioned to help entrepreneurs from underrepresented communities build wealth, autonomy and improve outcomes for their communities. If you have a question about how economic developers can support and prioritize entrepreneurs, we can help.
The historic events of the COVID-19 pandemic and racial justice movement have revealed that the traditional entrepreneurship infrastructure in the United States—particularly in the areas of banking and finance—has failed underserved communities. We can speak to the power of data-driven technology to help the American economy overcome our equity challenges and create greater opportunity for all.
Ecosystem builders are increasingly using a “hub and spoke” model to improve program design and inclusivity. The hub and spoke model allows for the creation of a centralized structure to leverage funding opportunities and improve entrepreneurial outcomes and outreach. We can share examples of hub and spoke models being developed in rural and urban ecosystems across the country.
Ecosystem builders need data to inform their work and support fundraising efforts. Moreover, they need a system that eases the burden of data collection, management and analysis. We can advise on best practices for collecting data to track program efficacy and resource gaps, report outcomes, design interventions and change policy.
The EIC Catalyst Network’s perspective on how entrepreneurship contributes to wealth creation, autonomy, improving the standard of living and empowerment for individuals from BIPOC communities.
Our “Breaking Down Barriers” podcast is an ongoing conversation on innovation led by David Ponraj and guests from the entrepreneurship-led economic development community.
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