We’ve all heard the mantra “Support black business.” Many of us have heeded the call repeatedly. Some have been pleased. Others have sacrificed quality service in the name of loyalty and sisterly patronage. Whatever the experience, we can agree that black business and its success is integral to the black community. Black Business Month gets underway in August and now is as good a time as any to apply 2009’s ubiquitous change we can believe in.
Black purchasing power now exceeds $900 billion and is fast approaching the trillion dollar mark. It’s an impressive stat, given intrinsic obstacles and disadvantages. But even more staggering is the amount spent with black-owned businesses – a mere 5%. A sobering thought to say the least.
Preaching aside, this month can be used to not only patronize, but start a business. Many a pundit and advisor have noted a recession presents the best time to start an operation. If you haven’t heard, 2009 qualifies for the r-word. Recent hard times have caused many rethink spending and saving strategies and this is just the approach for commerce. Consequently, those other r-words – respect and responsibility – are making a comeback and not a moment too soon.
We can often glean wisdom from the past; and the black community, despite its oppressed history, is no exception. As much as we lament segregation and Jim Crow existence, somehow the black community thrived under separation. In most towns, old placards from black-owned grocery markets, dry cleaners, and tire shops are collectors’ items. Besides the church, hair salon and the occasional soul food diner, there’s hardly a black establishment around. Black banks withered prior to the latest financial crisis. Try to buy stock in a black-owned entity; it’s virtually impossible. Even black hair care products are controlled by non-black hands.
It’s amazing to see the remnants of the past and wonder when the shift occurred. Apparently, chasing the alleged greener corporate pastures and individual aspirations didn’t fare too well for the village as a whole. Ironically for our community, “separate” meant unified and integration brought separation. Fortunately, we can have the opportunity to rectify the socioeconomic landscape. Hopefully, we can sport a retro look, proving what’s old is new in more ways than one.
Amid the optimism, black business is not exempt from the laws of competition and good practice. In a world of options, even consumers with a moral conviction expect quality goods and service. In order to survive, new and existing business owners alike must offer a value proposition while exploiting any sustainable competitive advantage. There’s still truth in the saying “plan the work, then work the plan”.
Starting is undoubtedly the most difficult phase in business. Start-up tasks can prove complex and intimidating to most seasoned professional, even before sifting through the red tape of incorporation and the broad ramifications of risk. Likewise, fleeting resources and dismal economic outlooks can further discourage any enthusiastic would-be-entrepreneur.
Yet, there’s still help for those who seek it. Business advice is often provided by non-profit and municipal groups. Check your local library and city website for seminars and other resources. Contrary to popular opinion, commercial and Small Business Association (SBA) loans are available to those who with a viable plan and outlook. As an added incentive, many government and corporate entities actively seek to do business with black-owned businesses.
So this month, make a resolution to support a black business and if your inner mogul fancies, start one (or write the plan). As our commander-in-chief lectured us, there’s really no excuse. I too have snarled at the not-quite-like-the-menu-description entrée or the higher-than-everywhere-else price tag for similar items. But what have I done about it? Not much at all. Yes, August is time for change – and risk – and reward.
