{"id":31564,"date":"2021-04-01T12:26:37","date_gmt":"2021-04-01T16:26:37","guid":{"rendered":"https:\/\/test.greenmoney.com\/2025\/?p=31564"},"modified":"2021-04-30T19:37:15","modified_gmt":"2021-04-30T23:37:15","slug":"women-of-color-the-investment-of-this-century","status":"publish","type":"post","link":"https:\/\/test.greenmoney.com\/2025\/women-of-color-the-investment-of-this-century\/","title":{"rendered":"Women of Color\u2013The Investment of this Century"},"content":{"rendered":"
>> Back to April 2021 Issue<\/a><\/div>\n

\"CNoteMany of us have come to realize that racial equity requires much more than intentional conversations and thoughtful grants. These are important efforts and should not be discounted, but they are not panaceas. There is a moral imperative to address the disparities experienced by Black and Brown men and especially women in the US with action and systems change.<\/p>\n

I want to suggest a new tool for your toolkit – and one that does not start from the place of \u201chelping them.\u201d It starts from a place of providing equitable access to the resources women of color need to create economic opportunity for themselves and their communities from within. It starts from \u201cwhat the hell were we thinking all these years?\u201d<\/p>\n

You see, women of color are the fastest growing segment<\/a> of entrepreneurs in the country. They create, they deliver, they inspire, and they are the heartbeat and cultural pulse of towns and communities around the nation. Women of color, and Black women in particular, are at the core of our economy with a high rate of labor market<\/a> participation throughout their lives, as small business owners, and frequently as the breadwinner in their homes<\/a>. And yet when we speak about racial justice, equity and economic mobility \u2013 why is the spotlight on Black women consistently removed or muffled?<\/p>\n

This is not only bad because it neglects a key lever that can transform the financial future for communities, but it also leaves out what I believe is a critical data point: Women of color are the investment opportunity of the century.<\/p>\n

\"Ebony
Ebony Harris received funding from a CNote partner CDFI. She has served families in Jackson, TN throughout the pandemic, so essential workers in her community could continue to work.<\/em><\/figcaption><\/figure>\n

Let\u2019s start with some facts:<\/h2>\n

1)\u00a0 An investment in Black women entrepreneurs is an investment in our economic potential as a country.<\/p>\n

American Express research from 2019 found that if revenues generated by minority women-owned firms matched those generated by all women-owned businesses, they would add <\/strong>four million new jobs and $1.2 trillion in revenue<\/strong><\/a> to the US economy.<\/strong><\/p>\n

2)\u00a0 An investment in Black women entrepreneurs represents a critical catalyst to change the economic reality of Black women, their families, and the economy as a whole.<\/p>\n

According to Closing the Women\u2019s Wealth Gap, Black women entrepreneurs have a median net worth <\/strong>10 times greater<\/strong><\/a> than that of their nonbusiness-owning peers. <\/strong>As of 2019, women of color account for 50% of all women owned businesses<\/strong>.<\/p>\n

3)\u00a0 Women of color have been found no less risky of an investment, and often less risky, than investing in their white male peers.<\/p>\n

A study CNote conducted with the Bay Area small business accelerator, ICA, found that the default rate among minority females is not statistically different <\/a>from that of white females or white males, and is lower than minority males.<\/p>\n

4)\u00a0 Black women are consistently underestimated and underfunded.<\/p>\n

According to the Kauffman Foundation, new Black-owned businesses start with almost three times less<\/a> in terms of overall capital compared with new white-owned businesses, and Black entrepreneurs\u2019 loan requests are three times less likely to be approved than those of white entrepreneurs<\/strong>.<\/p>\n

We have a massive problem here.<\/h2>\n

Black women are one of the most important pieces of the puzzle when it comes to addressing systemic poverty and economic inequality. They also represent tremendous GDP potential for our country \u2013 in 2017 McKinsey reported that if Black-owned businesses could reach financial parity with their white counterparts in terms of revenue, it could represent an additional $190 billion<\/a> in additional annual GDP – while also starting businesses on the path to economic freedom at historically high rates. And yet, we do not call them out and more importantly invest in them<\/strong> at near the frequency and depth that can truly catch up to their potential and our potential economic and societal growth.<\/p>\n

If you believe Black women entrepreneurs represent a strong investment opportunity, how does one understand, underwrite and invest in that massive opportunity? How can an individual possibly get involved beyond philanthropically contributing to economic justice, but invest in a new system that highlights and celebrates the diversity, brilliance and success of today\u2019s Black women entrepreneurs?<\/p>\n

\"Christine
Christine Uwimbabazi started Prime Care transportation to gain economic independence for herself and her family. CNote’s Wisdom Fund<\/strong> aims to support entrepreneurs like her. She’s creating jobs and providing critical medical transport services in Buffalo, NY.<\/em><\/figcaption><\/figure>\n

Here are a few places to get started:<\/h2>\n