A new report by Bank of America reveals that women and minority small business owners are optimistic about their revenue prospects for the next 12 months, even as they face economic uncertainties and challenges. The report, titled 2022 Women & Minority Business Owner Spotlight, surveyed 1,000 small business owners across the U.S., with a focus on women, Black, Hispanic-Latino and Asian American and Pacific Islander (AAPI) business owners.
Inflation and Politics Top Concerns for Small Business Owners
According to the report, inflation is the biggest worry for women and minority small business owners, with 78% of them labeling it as their primary concern, followed by unstable politics (67%), rising interest rates (65%), high prices (63%) and the possibility of a recession (60%). These concerns have dampened their confidence in the national economy, with only 34% of them believing that it will improve over the next 12 months, compared to 44% in 2022.
To cope with these economic challenges, small business owners are taking various actions, such as raising prices (49%), reducing expenses (41%), increasing marketing efforts (38%) and hiring more employees (28%). Some of them are also seeking external funding sources, such as loans, grants or investors, to support their business growth.
Women and Minority Business Owners Expect Revenue Growth and Expansion
Despite the economic uncertainties, women and minority small business owners are confident in their own business prospects for the year ahead. Two-thirds of them anticipate revenue increases, and over half of them are preparing to expand their business in the next 12 months. They also have positive outlooks on their local economies, with 47% of them expecting them to improve over the next year.
The report also reveals some differences among women and minority business owners in terms of their expectations and challenges. For instance:
- Women business owners are more likely than men to say that they have faced gender discrimination in their industry (38% vs. 25%) and that they will never have equal access to credit (31% vs. 23%).
- Black business owners are more likely than other groups to say that they have faced racial discrimination in their industry (54%) and that they will never have equal access to credit (35%).
- Hispanic-Latino business owners are more likely than other groups to say that they have family or community support for their business (82%) and that they are committed to social change through their business (74%).
- AAPI business owners are more likely than other groups to say that they have faced language or cultural barriers in their industry (40%) and that they need more educational resources to grow their business (64%).
Bank of America Supports Women and Minority Small Business Owners
Bank of America is committed to helping women and minority small business owners succeed by providing them with the resources and support they need to manage, sustain and grow their businesses. The bank offers a range of products and services tailored to the needs of small businesses, such as loans, credit cards, checking accounts, savings accounts, merchant services and payroll services. The bank also provides access to capital through its partnerships with community development financial institutions (CDFIs) and other organizations that serve women and minority entrepreneurs.
In addition, Bank of America offers educational resources and networking opportunities for small business owners through its Small Business Community website, its Better Money Habits website, its Small Business Podcast series and its sponsorship of events such as the Forbes Under 30 Summit and the Essence Festival. The bank also recognizes and celebrates the achievements of women and minority small business owners through its annual Women Business Owner Spotlight report and its annual Hispanic Small Business Owner Spotlight report.
By supporting women and minority small business owners, Bank of America is not only helping them achieve their personal and professional goals, but also contributing to the economic growth and social progress of the communities they serve.
