The COVID-19 pandemic has exacerbated the economic inequalities faced by women and minority workers and business owners, by consolidating gender roles and increasing racial inequalities.
running news: Against this backdrop, a new partnership between the National Urban League and liberal Democratic think tank Third Way seeks to level the playing field for entrepreneurs — and plans to pursue federal action, Nerdshala has learned.
- The Alliance for Entrepreneurial Equity initiative aims to create an agenda of policies that will eventually be endorsed by Congress and President Biden.
- Hoping to be on that agenda: Equalizing access to capital, networks and markets for minority and women entrepreneurs.
why it matters: While many grassroots efforts exist to improve entrepreneurial equity, very few are focused on effecting long-term changes at the federal level.
Reference: a study from yelp earlier this year found that women-owned businesses, Latino-owned businesses and black-owned businesses were twice more likely to close and reopen than other businesses.
- More than half (51%) of black-owned small businesses have less than three months’ worth of cash, compared to 44% of all small business owners, a recent report found. goldman sachs survey.
What are they saying: During the pandemic, “we have seen the power of Congress and the federal government” [bringing a] A historic amount of change in small businesses,” Imani Augustus, director of AEE, tells Nerdshala.
- big picture: From government funding to reconciliation, talk on Capitol Hill this year has been about rebuilding the economy – and in particular, how to create a post-COVID economy that is “more inclusive and equitable,” Gabe Horwitz , says senior vice president of economic programs at Third Way.
Bottom-line: “We need more small businesses, period,” Horwitz says.