Minority-Owned Small Businesses Struggle to Win Government Contracts
Despite the federal government’s emphasis on the importance of small business and its continued efforts to promote entrepreneurship in minority populations, minority-owned small businesses are struggling to secure government contracts. According to Bloomberg, small businesses won approximately $98.2 billion in government contracts in 2012. Of those awards, Hispanic small business owners won around 8.4 percent, or $8.21 billion, while black small business owners took in 7.2 percent, or $7.1 billion, of these contracts.
According to Bloomberg, 17 percent of the U.S. population is Hispanic, and 13 percent is black, making the gap between contracting numbers and population more noticeable.
Minority small business owners are still trying to catch up after contracting declined sharply for them in 2011. In 2011, contracting awards to companies run by black owners fell 6.5 percent from the year before, more than four times the rate of the overall decline in all contracts. Similarly, awards to Hispanic small business owners fell 4.4 percent, compared to the 3.9 percent drop in all small business contracts.
If a small business owner is having trouble making ends meet, they can come to National Funding for assistance. National Funding can help with getting a small business loan and other financial issues.