According to research from The Business Journals SMB Insights group the number of minority owned small businesses in the U.S. is growing much faster than overall small business growth rate.
As their chart below shows, between 2007 and 2017 the number minority owned SMBs have grown by 79% reaching 11.1 million.
This growth is about 10 times faster than the 7.6% overall growth rate for U.S. small businesses during this period.
As the chart below (click to enlarge) shows, all three major minority groups have seen substantial growth since 2012.
The growth in minority owned businesses in part reflects the changing demographics of America. It is expected that by sometime between 2040 and 2050 the U.S. will be a minority majority country. So it makes sense that the percent of small businesses owned by minorities would be increasing.
The data in these charts include both employer small businesses (those that employ at least one traditional employee) and non-employer small businesses (solopreneur businesses that do not have traditional employees).
Employer small businesses still skew towards ownership by older, white males.
But this too will change in the coming years due to the increase in non-white Americans. As is often stated, demographics is destiny.
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