Small Business

A Snapshot of BIPOC-Owned Small Businesses Across the US 

By Mashum Mollah

August 9, 2021

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Small businesses were just one of many entities largely impacted by the COVID-19 pandemic. Across the globe, many businesses, no matter the industry or how much of a cult-following they had in their hometowns, were run out of resources and forced to close their doors. Most of the small-town businesses are having a tough time due to the pandemic season.

One bright spot is that the unprecedented circumstances prompted customers to show an outpouring of support for their local favorites. From family restaurants to local boutiques, many communities did anything they could to keep their local small businesses afloat. 

How BIPOC-Owned Small Businesses Across the US?

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One component of many of these campaigns has centered around spreading awareness and support for minority-owned small businesses. These businesses have faced unique challenges of their own over the past year, with the combination of the global health pandemic and recent racial injustice events. 

A recent study mapped out the number of BIPOC-owned small businesses across the states, and there are certainly some clear patterns worth noting. Using data from the U.S. small business administration, Edwards Kirby calculated the percentage of overall small businesses that are BIPOC-owned in every U.S. state. 

Is BIPOC Owning Small Businesses Making Change?

Is BIPOC Owning Small Businesses Making Change?

The state with the highest number of small business percentages is Hawaii, which may not come as a surprise given its large minority population. Interestingly, 54.7% of small businesses in Hawaii are BIPOC-owned. 

The second-highest state boasts a significantly lower percentage of 39.3% — Texas. Other states that are well represented include California, New Mexico, DC, and Florida, each with more than a third of small businesses BIPOC-owned. 

However, not all states fall in this same category. At the opposite end of the spectrum, just 2.9% of small businesses are minority-owned in the northern state of Maine. In total, there are 13 states where less than 10% of small businesses are BIPOC-owned. 

Whites make up for roughly 76% of the U.S. population – so it’s no surprise that they might own the majority of small businesses. However, business ownership is largely disproportionate to the population in many northern states, as uncovered by this report. 

How Is BIPOC Developing Small Business?

The simple social media campaigns identifying local BIPOC-owned small businesses can make a difference. Bringing awareness to local businesses that may be currently is a hidden gem could be a game-changer for that business’s ability to keep its doors open during the pandemic (not to mention a game-changer for all your followers who are probably missing out on the best pizza in town, just because they don’t know it exists). 

It’s important for us as customers to support these small businesses now more than ever. Small businesses are always facing more trouble as the small business financial backup is not the same as the big companies. And they can not incorporate the costly branding of the promotional works.

That does not mean the products are not suitable or services are inadequate. On the contrary, the BIPOC is helping you to circulate the business news among the viewers, and they are taking the initiative to progress the brand names. Therefore, the consumers are getting aware of the small business, the success ratio of the business is going to increase.


Small businesses that are all easy need a powerful push to make progress. And BIPOC is just like that. Consumers often ignore the small-scale industry and the company as the brand names are not known. After being owned by the BIPOC, they are taking complete initiatives to make the brand name famous. For the local small business handlers, this is a game-changer. For BIPOC, the consumers are getting aware of the brand name and are willing to take the services.

To read more about BIPOC-owned small businesses across America, read the full report here

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