Black-owned businesses are the backbone of the black community in Canada. They provide much-needed jobs and economic stability to our neighborhoods and help to keep our culture alive.
Unfortunately, black-owned businesses are often overlooked and underserved by the mainstream business community. This is why it’s so important for us to support them.
There are several statistics that show why we should support black-owned businesses in Canada. Here is a comprehensive guide to some of the most important ones:
1. Black-Owned Businesses Make Up a Significant Proportion of the Canadian Economy
According to Statistics Canada, black-owned businesses accounted for 4.4% of all businesses in Canada in 2016. This may not seem like a lot, but it represents a significant contribution to the Canadian economy.
2. Black-Owned Businesses are Growing at a Faster Rate Than Other Businesses in Canada
Between 2011 and 2016, the number of black-owned businesses in Canada grew by 42%. This is significantly higher than the overall growth rate for businesses in Canada, which was only 12% during the same period.
3. Black-Owned Businesses Employ a Significant Number of People in Canada
Statistics Canada estimates that black-owned businesses employed nearly 60,000 people in 2016. This represents a significant contribution to the Canadian workforce.
4. Black-owned businesses are an Important Source of Tax Revenue for the Canadian Government
In 2016, black-owned businesses generated $2.7 billion in tax revenue for the Canadian government. This is a significant contribution to the public purse and helps to fund important public services such as education and health care.
5. Black-Owned Businesses are an Important Source of Economic Activity in Urban Areas
A recent study by the Canadian Urban Institute found that black-owned businesses accounted for $10.4 billion in economic activity in the Greater Toronto Area in 2016. This is a significant contribution to the local economy and helps to create jobs and wealth in the city.
6. Hiring Discrimination Against Black People Remains High
Despite the progress that has been made in recent years, black people continue to face discrimination in the labour market. A recent study by the Canadian Centre for Policy Alternatives found that black people are twice as likely to be unemployed as white people. They are also more likely to be underemployed and to earn less than their white counterparts.
7. The Black Community is Underrepresented in the Media
The black community is underrepresented in the media. A recent study by the Canadian Media Concentration Research Project found that black people make up just 3.2% of the newsroom staff at Canada’s major news outlets. This is despite the fact that black people make up 4.9% of the Canadian population.
There are many reasons to support black-owned businesses in Canada. Black-owned businesses are less likely to receive government contracts, they have less access to capital, and they face a higher rate of rejection when applying for loans. Furthermore, black-owned businesses generate less revenue than businesses owned by other groups.
By supporting black-owned businesses, we can help to level the playing field and create opportunities for black entrepreneurs. We can also help to promote economic growth in black communities and increase black employment.
Black Business Global is a black-owned business portal that supports entrepreneurs and small businesses in Canada. Let us help you start a successful business. Contact us today to get started!