In The Know Radio Show: Celebrating the Impact of Women’s Entrepreneurship

The month of October is National Women’s Small Business Month.  According to the 2018 State of Women-Owned Business Report commissioned by American Express, there are over 12 million women-owned businesses in the U.S., representing 40% of all businesses. We supply over nine million jobs and generate about $1.7 trillion in revenue.

It’s well-known that small business is the engine that drives the U.S. economy. To know that women-owned businesses account for 40% of that is an accomplishment that should instill a sense of pride in every woman. So, this month, we celebrate the undeniable impact of women’s entrepreneurship.

 

Minority-Owned Firms

Minority women-owned firms represent the most growth in women’s business ownership. African American women-owned firms account for 47% of all women-owned businesses, employing over 2.2 million people and generating almost $400 billion in revenue. The surge in business startups within the African American community is the result of a few factors. Higher unemployment rates, long-term unemployment, and a greater gender and racial pay gap. Latinas account for 17% of all women-owned businesses, while Asian Americans account for 9%.

 

Empowered Collective

Collectively, we, as women, have preserved despite the seemingly insurmountable obstacles that have attempted to hinder us in the past and the fruitless efforts that persist to dampen our spirit and cripple our progress.

We cannot and will not take our foot off the gas because we need our businesses to not only open and grow, but to remain open for 10, 20 plus years down the road. We need our businesses to reach $1MM+ and continue to be a source of jobs and empowerment for our communities.

But to do that, women have to work together and stick together. We have to push back against unfair practices and shady dealings. I believe NAWBO (National Association of Women Business Owners) says it best in their mission, “to propel women entrepreneurs into greater economic, social, and political spheres of power” so that the balance of wealth is no longer skewed and that opportunities are accessible and fair.

So, as we strive together to grow our businesses, we must all remember to reach back and pull up. Advocate. Speak out. Stay engaged. We’re all standing on the shoulders of giants. Women who saw injustice and banded to together to see that injustice undone.

 

Women’s Business Ownership Act

In fact, we are about to celebrate a tremendous milestone. Thirty years ago, members of NAWBO educated elected officials and agency staffers of the undeniable impact women-owned businesses played in the national economy.

NAWBO’s outreach led to U.S. Representative John LaFalce authoring House Resolution 5050 or H.R. 5050, The Women’s Business Ownership Act, and President Ronald Reagan signing it into law on October 25, 1988.

 

What is H.R. 5050?

H.R. 5050 erased the need for a male relative or husband to co-sign a business loan. Prior to this legislation, in many states, women needed a male to cosign their business loan. In fact, one woman explained during a hearing on Capitol Hill how her 17-year son had to cosign for her. So the next time you fill out a loan application for your business and sign it, think of H.R. 5050 and the women who stood up.

The Women’s Business Ownership Act also established the Women’s Business Center program.

Today, there are 100+ centers and these centers have helped more than 2 million women start and expand their businesses. Joining and supporting centers like Pathway Women’s Business Center is one of the best decisions you can make for your business and it exists to serve the entrepreneurial community because of H.R. 5050.

H.R. 5050 was the origin of the National Women’s Business Council (NWBC). NWBC conducts research and advances policy solutions to improve the business environment for women.

This act also required the Census Bureau to include women-owned c-corporation, which expanded research beyond the self-employed and into bigger women-owned businesses.

 

My Challenge To Women

Share your story. Educate younger generations on the crude fact that the landscape of business ownership looked extremely different just 30 years ago. While it was possible to become the first American women in space (Sally Ride – 1983), in some cases, it was impossible for women to get a business loan on her own from her bank. That was in the 1980s, not 1880s. That’s recent.

So, during this National Women’s Small Business Month, carve out time to share your passion for the work that you do and show your support for women in business. We need to hear the pride in the voices of women who’ve endured and persevered and be empowered by your stories of success and failure.

I recently read that it’s hard for some to envision you succeeding when there are no or few examples of it. But women are succeeding across the board. You have your proof, so get out of our way!

 

Listen to the entire In The Know Broadcast here.