Black and Latino Business Ownership Growth under the Biden-Harris Administration: A Closer Look
Under the Biden-Harris Administration, the conversation around small business support has taken a center stage. However, the narrative that has emerged has been divisive, with critics raising concerns about the administration's policies stifling business growth. In this article, we delve into the actual situation and highlight how Black and Latino business ownership have fared under these policies.
Contrary to the Critics' Claims
Many critics argue that the Biden administration's policies have resulted in an over-regulation of small businesses. However, this claim is widely disputed. According to the Small Business Resilience and Recovery Act, the administration has implemented measures to provide much-needed support to small businesses, including those owned by Black and Latino individuals.
Supportive Policies and Statistics
One of the most notable initiatives was the Affordable and Broadband Data Collection Act, which aims to close the digital divide by expanding access to high-speed internet and digital tools for small businesses. Additionally, the Small Business Resilience and Recovery Act provided financial aid and loans specifically designed to alleviate the financial stresses faced by small businesses during the pandemic.
Despite these efforts, some critics, including former President Trump, have disparagingly suggested that the Biden administration's policies unfairly penalize small businesses. However, the data tells a different story. According to the U.S. Bureau of Labor Statistics (BLS), the number of privately owned Black businesses increased by 5.6% from 2019 to 2020. This growth further extends to Latino-owned businesses, with a 3.4% increase in Latino-owned businesses between the same period.
Addressing Misconceptions with Data
A common misconception is that Black business owners lack the necessary resources like accountants and lawyers. This perspective has been criticized as a misrepresentation. Joe Biden, in fact, has acknowledged the importance of similar resources, stating, "'Black business men are just as smart as white business men, the only difference is that Black business men don’t have accountants and lawyers'." This statement, however, should not be taken lightly. It underscores the need to provide access to financial and legal resources, which can significantly impact business success.
Access to Resources and Legal Services
To combat this issue, the administration has taken several steps. The Biden-Harris administration unveiled a comprehensive plan to provide free or low-cost legal services to small businesses. This initiative includes not only financial assistance but also direct support in navigating complex regulatory frameworks. By addressing these gaps, the administration aims to level the playing field, ensuring that all entrepreneurs, regardless of their background, can succeed.
Conclusion and Future Outlook
In summary, the Biden-Harris administration has implemented a range of policies aimed at supporting small businesses, particularly those owned by Black and Latino entrepreneurs. The statistics clearly demonstrate a positive trend in business ownership growth. While challenges remain, the administration's commitment to addressing systemic issues and providing resources is commendable. As we move forward, continued support and equitable policies will be crucial for the continued success of minority-owned businesses.