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SBA extends help to minority-owned companies

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By The Staff

In July, the U.S. Census Bureau reported that the number of minority-owned businesses increased by 46 percent from 2002 to 2007.

This is good news. These new businesses are creating jobs and driving local economic growth all across the country.

However, this is no time to lessen the commitment or resources available to help minority small businesses grow and create jobs.

At the Small Business Administration, three core mission areas – access to capital, opportunities in federal contracting and business counseling – are being leveraged to build on the growth that has occurred in minority business ownership. Minority-owned firms struggle with access to capital, and when they do receive a loan, it is often too small or the interest too high.         

That’s why, according to the Urban Institute, minority small businesses are three to five times more likely to get a loan if the SBA guarantees it.

Moreover, enhancements made possible by the Recovery Act have helped the SBA provide support for more than 14,000 recovery loans, worth $5 billion, to minority-owned small firms.


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