Census report: Women, minorities own more new companies

DENVER BUSINESS JOURNAL - The percentage of U.S. businesses owned by women and ethnic minorities continues to lag the representation of those demographic segments in the nation's population, but according to new U.S. Census Bureau data, their ranks in company ownership may be growing.

The Census Bureau report, touted by the group as the first of its kind, aims to highlight entrepreneurship trends. According to the data, 2.1 percent of firms with at least one employee in 2014 were black-owned, 5.8 percent were Hispanic-owned, and 9.8 percent were Asian-owned. By comparison, as of July 2015, the Census Bureau estimated about 13.3 percent of the nation's population identified as African-American, 17.6 percent as Hispanic or Latino, and 5.8 percent as Asian or Pacific Islander.

Women, despite being more than half the U.S. population, owned 19.4 percent of the businesses with a paid employee.

The ownership numbers, however, also appear to show a shift in entrepreneurship patterns. The Wall Street Journal reported that blacks owned 3.3 percent of firms that had been in business less than two years, higher than that demographic segment's overall 2.1 ownership rate. Similarly, Hispanics owned 8.3 percent of businesses in operation less than two years, Asians owned 13.7 percent, and women owned 24 percent of those young businesses — all rates higher than the groups' overall ownership rates.

Read more at the Denver Business Journal: http://bit.ly/2bXemQQ

Copyright 2016 Denver Business Journal


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