The Hispanic population in the United States is growing rapidly, and with it, the number of Hispanic-owned businesses. According to the U.S. Census Bureau, there are now over 4 million Hispanic-owned businesses in the United States, making up almost 10% of all businesses in the country. This growth is impressive, but what does it mean for the economy?
In this blog post, we’ll take a look at the latest statistics on Hispanic-owned businesses and discuss what they mean for the future of the economy. We’ll explore the growth of Hispanic-owned businesses, their impact on the economy, and the challenges they face. Finally, we’ll discuss how businesses and organizations can help support the growth of Hispanic-owned businesses.
Hispanic Owned Businesses: The Most Important Statistics
In 2021, Peru had the highest rate of female business ownership in Latin America at 29.5%, followed by Brazil at 29%.
Hispanic-owned businesses yielded $472.3 billion in annual receipts and employed 2.9 million employees in 2020.
Hispanic Owned Businesses Statistics Overview
The number of Hispanic-owned businesses in the United States grew from 1.57 million in 2002 to more than 3.16 million in 2013.
This growth is indicative of the increasing economic power of the Hispanic community in the United States and the importance of Hispanic-owned businesses in the US economy.
Hispanic-owned businesses grew 8.2% in 2020 and yielded $472.3 billion in annual receipts, making up 6.5% of all businesses in the US and employing 2.9 million employees.
Women in Latin America are more likely to start businesses out of necessity than men, with the largest gender difference in Argentina and Costa Rica. This is important to note as it shows the need for more economic opportunities for women in the region, and the potential for growth in Hispanic owned businesses.
In 2021, Peru had the highest rate of female business ownership in Latin America at 29.5%, followed by Brazil at 29%.
Women are increasingly taking the lead in business ownership in Latin America, which is a positive trend for the region. Therefore, it is essential to support female entrepreneurs in the region, as their success is crucial for the economic growth of the region.
The 2021 State of Latino Entrepreneurship report provides a snapshot of the current state of Latino business owners in the U.S., based on a survey of 7,500 Latino and 7,500 non-Latino, White business owners.
Hispanic small business owners are facing more financial challenges due to the pandemic than White small business owners, with 39.3% reporting difficulty accessing financing and 42.6% reporting cash flow issues.
Additionally, they are more likely to use their own personal savings to fund their businesses. This data is necessary to consider as it highlights the disparities between Hispanic and White small business owners and the need for more resources to help Hispanic entrepreneurs succeed.
Hispanic-owned businesses yielded $472.3 billion in annual receipts and employed 2.9 million employees in 2020.
In 2007, Hispanic-owned businesses generated $358 billion in sales, a significant increase from 2002 and a projection of even more in 2013.
Guatemala had the highest new business ownership rate of 16% among six Latin American countries surveyed in 2020.
Mexican startup Kavak raised 1.6 billion U.S. dollars in funding, making it the leader in terms of funding amounts in the country.
Conclusion
In conclusion, Hispanic owned businesses are an important part of the U.S. economy. They are growing at a rapid rate, and they are making a significant contribution to the economy. The statistics show that Hispanic owned businesses are playing an increasingly essential role in the U.S. economy, and they are likely to continue to do so in the future.
It is important to recognize the contributions of Hispanic owned businesses and to continue to support them in order to ensure their continued success.
References
1 – https://www.statista.com/statistics/301156/number-of-hispanic-owned-businesses-in-the-us/
2 – https://www.census.gov/library/stories/2023/01/who-owns-americas-businesses.html
3 – https://www.statista.com/topics/9479/female-entrepreneurship-in-latin-america/
4 – https://www.statista.com/statistics/1305066/business-ownership-rate-of-women-latam/
5 – https://www.gsb.stanford.edu/insights/adapting-pandemic-latino-owned-businesses-get-stronger
6 – https://www.prnewswire.com/news-releases/hispanic-owned-small-businesses-are-starting-at-record-rates-but-access-to-funding-remains-a-stark-challenge-301625528.html
7 – https://www.census.gov/library/stories/2023/01/who-owns-americas-businesses.html#:~:text=Hispanic%2Downed%20businesses%20grew%20about,employed%20about%202.9%20million%20employees.
8 – https://www.statista.com/statistics/301520/total-sales-receipts-for-hispanic-owned-businesses-in-the-us/
9 – https://www.statista.com/statistics/315421/new-business-ownership-rate-in-latin-america-and-caribbean/
10 – https://www.statista.com/statistics/1050647/mexico-fundraising-amount-startups/
