Entrepreneurship has traditionally lacked diversity, but over the past few years, we have seen an encouraging shift. The 2023 GoDaddy Venture Forward research initiative noted that people who identify as Black, Asian, Indigenous and multiracial now own 29% of U.S. micro-businesses compared to 17% in 2019. Black women represent the fastest-growing segment of this diverse crop of entrepreneurs. Black entrepreneurs own 15% of U.S. micro-businesses, and 68% of those businesses are owned by Black women.
Ahead, we dive into the legacy of Black women entrepreneurs and discuss how philanthropy is helping Black women across industries.
The Legacy of Black Woman Entrepreneurs
Entrepreneurship is a pathway to success for Black women, increasing visibility and representation in industries that were not always open to them. Many of the most successful Black women entrepreneurs also began as inventors.
For example, Sarah E. Goode became the first Black woman to file a patent with the U.S. Patent and Trademark Office. She and her husband, a carpenter, ran a furniture store, and she invented a precursor of the popular Murphy bed for working-class people living in small city apartments.
Marie Van Brittan Brown, who patented a home security system, and Madam C. J. Walker, who developed hair and beauty products, are two other examples of well-known Black women entrepreneurs.
Supporting Today’s Black Woman Entrepreneurs
The journey to building a company is different for everyone. Entrepreneur Robert F. Smith began his career as an engineer and inventor, earning several U.S. and European patents. His path to entrepreneurship included earning an MBA from Columbia Business School, where he built and expanded his network and pivoted from engineering to finance and investing.
Smith’s philanthropy supports organizations like Grameen America, a microfinance institution that assists women from communities that often lack access to resources and opportunities. Grameen America supports entrepreneurs in various industries, including healthcare, cosmetics and retail. It helps people start or expand their small businesses and provides additional financial services. Since its founding in 2008, Grameen America has helped over 200,000 financially underserved women across the U.S.
Grameen America has helped Black women entrepreneurs like Barbara, the owner of a one-of-a-kind tea lounge in Memphis, Tennessee. Barbara learned about building credit, business structures and social media through the organization. She then obtained a Grameen America business loan, which she used to expand her digital marketing. The loan and her new business skills helped Barbara increase brand awareness and boost her business.
In the video below, Smith shares his experience with the Black women in his beloved community. He also shows how financing from organizations like Grameen America could have enhanced their success.
Organizations like Southern Communities Initiative (SCI) help further the goals of Grameen America. SCI is a program for advancing racial equity across six Southern communities that represent more than 50% of the Black population in the U.S.
As a co-lead of SCI, Smith supported SCI’s partnership with Regions Bank, Truist Foundation and The Studio @ Blue Meridian Partners to support Grameen America in its mission. This partnership helped launch Grameen America’s Atlanta branch.
For the latest updates on Smith’s philanthropy and his support for Black women entrepreneurs, follow him on LinkedIn.
