An infographic created by CreditDonkey reveals that black-owned businesses thrived in the early 2000’s. When the Census collected most of its data in 2007, it revealed that 7.1 percent (or 1.9 million) of businesses in the U.S. were African-American owned. The data revealed a 61 percent increase from five years earlier.
The data also reveals that most black-owned businesses are a one-man show, i.e. only have one employee, but the 106,000+ who did hire employees, reported that the companies hired 921,000 workers. Most black-owned businesses are in healthcare/social service sector. The other two top sectors are repair and maintenance/personal laundry services and administrative and support/waste management and remediation services. The most fascinating data reported is black-owned businesses with employees grossed $99 billion in 2007, outperforming the rest of the country.
The writers at CreditDonkey offered up some tips to black business owners to help them continue on the fast track to success:
To keep afloat, Kelly Teh at CreditDonkey recommends new business owners separate their personal identity from their business identity, which many new owners, especially those who are the sole proprietor, hold off on doing. This will help protect your personal finances and your personal credit history, while also opening the door to a wider range of business credit opportunities that can help you gain the financial foothold you need to expand your venture.
To stay fiscally sound, black business owners need to stay in the positive, and one way is to have a business credit card to cover everyday business expenses. Before choosing a credit card, Meaghan Clark at CreditDonkey suggests studying your spending habits and reviewing the expenses from the past quarter to help you identify the specific credit card features that will most benefit your business.
To ensure you remain on the right track, remember to perform regular credit checkups. Review your spending and credit habits on a quarterly basis to make sure you’re staying on the straight and narrow. It’s best to check both your personal and business credit reports to make sure you’re keeping everything separate and to catch any errors before they make a negative impact on your business.
Courtesy of: CreditDonkey