Black-Owned Business Statistics: Where to Find Reliable Data

Start with the U.S. Census Bureau

The Census Bureau publishes the most complete data on business ownership by race and ethnicity, including the Annual Business Survey and Nonemployer Statistics.

The Annual Business Survey reports on employer businesses by owner demographics, with detail on industry, size and receipts. Nonemployer Statistics covers businesses with no paid employees, which includes most sole proprietors. Both are free at census.gov.

Always check the reference year and the definition. Some tables count businesses owned mostly by one group, others count any ownership share.

Use the SBA Office of Advocacy for research

The SBA Office of Advocacy publishes reports and fact sheets on small business trends, often drawing on Census and other federal data.

Its research covers business formation, employment and access to credit. Reports include methodology notes you should read before quoting a figure. Look for the publication date and cite the report by name when you use it.

Understand what the numbers actually measure

A statistic about business counts, receipts, employees or owners answers different questions. Mixing them gives wrong conclusions.

Before you quote a number, ask:

• What is counted? Employer firms, nonemployer firms, or both.
• How is ownership defined? Majority ownership, or any ownership.
• What year is it from? Business data lags by a year or more.
• Is it a survey estimate? Surveys carry margins of error.

Two reports can both be right and still disagree because they define terms differently.

Using the data in a business plan

Market data supports a plan when it is specific, current and sourced. Cite it in your market section and tie it to your local customers.

A statement like "the market is growing" means little without a source and a year. Combine national data with local facts: customer counts in your area, competitors you can name and your own sales to date. Lenders and funders want to see that you understand your market.

For help structuring a plan, read how to write a business plan and business plans and funding.

Resources for Black business owners

Federal, nonprofit and community programs offer counseling, certification and capital to owners of color. Availability depends on location.

SBA resource partners, local chambers, community development financial institutions and minority business development programs can help. See ways to help minority-owned businesses and grants for minority small business owners. Treat any offer that asks for an upfront fee for a grant as a red flag.

How to cite statistics correctly

Name the source, the table or report, the year and the definition. Never round up or merge numbers from different surveys.

A good citation lets a reader find the same number. Write, for example, the agency, the survey name and the reference year, then link to the table. If you add or compare figures, make sure they come from the same survey and definition.

Avoid claims like "fastest growing" unless you can show the comparison and the time period. Growth from a small base can look large, and a different year can change the ranking.

If you cannot find a current number, say so and describe the trend in words instead. Funders, partners and readers trust a business owner who is careful with facts. That habit also protects you when you write a business plan or a pitch.

When growth needs capital

Data tells you where demand is. Funding lets you act on it. Compare cost and payback before you borrow.

ROI Funder serves Black-owned businesses in all 50 states that have 6+ months in business, $20,000+ monthly revenue and 500+ FICO. We match each file to the funders in our network and show true cost and payback first. Learn more on our page for minority-owned businesses or review working capital. The application takes a few minutes and uses a soft credit pull.