Many black-owned
business have trouble obtaining the financing to grow. And they can't
find enough qualified employees. The phenomenal rise in the
number black entrepreneurs has long been a hot business topic.The latest Census data ,for example, showed a 26 percent rise between
1992 and 1997 and the 2002 numbers are expected to show a continued
increase when they are released next year. But that surging
growth belies the difficulties African-American business owners grapple
with in trying to hold onto their American dream. "Access to
capital is No. 1 on the list," said Harry C. Alford, president of the
National Black Chamber of Commerce in Washington. And the access
imbalance is particularly keen on the venture capital side. Though
minorities make up 30 percent of the U.S. population, less than 2
percent of venture funds are invested in their businesses, said Robert
L. Greene, president of the National Association of Investment Cos., a
Washington, D.C. trade Association for companies that invest in
minority businesses."They don't have personal contacts to get
their deals exposed," he said, something his group is trying to change. Many black firms also have
trouble finding qualified workers, another issue that imperils their
financial stability, according to a study released last week by the
Philadelphia-area African American Chamber of Commerce. That study
found that 40 percent of its members are experiencing difficulties in
finding skilled employees. Crawley said the shortage isn't confined to
black business but "because such firms tend to be smaller and have
lesser capital resources, the impact on them is greater." [more]
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