Newsletter from Treasury Department It showed that Latino-owned businesses increased between 2019 and 2022.
In 2021, for example, nearly 25% of new entrepreneurs in the United States were Latino. While the Latino employer saw a 25% increase in revenue during the pandemic and its subsequent recovery.
In turn, the Treasury Department report, which the aforementioned agency shared with… Latin timestates that Latino-owned businesses and their revenues have increased over the past three years.
The department details how federal investments, including those from President Joe Biden's American Rescue Plan, are growing and preserving Latino-owned businesses.
According to a report published last month by the Stanford Latino Entrepreneurship Initiative (SLEI), there are more than 62.5 million Latinos in the United States, and we represent 19% of the US population.
With an economic output of $2.8 trillion, there are nearly 5 million Latino-owned businesses across the United States, generating annual revenues of more than $800 billion.
Thanks to this data, the economic power that Latinos enjoy in the country, being a specific demographic group in terms of income and consumption in the United States, is reinforced.
Latino-owned businesses have increased
Although the COVID-19 pandemic has caused damage to businesses and the Latino community has been one of the hardest hit, actions taken by President Joe Biden's administration have strengthened Hispanic businesses.
In the post-pandemic recovery, the Biden administration has taken action to build a more equitable economy for Latinos, the Treasury Department report says.
Since 2020, there has been a long-term increase in enterprise applications and startups. The agency explained that average monthly commercial orders were 50% higher between 2021 and 2023, compared to the period 2018-2019.
Latino-owned businesses are seeing higher revenues now than before the pandemic.
Economic growth of Latinos in the United States
During the pandemic and recovery, from 2019 to 2022, the average revenue growth rate for Latino employers was 25%.
From 2019 to 2022, average weekly earnings increased 2.4% for Latino workers, even as inflation rose.
According to Treasury Department calculations based on monthly data from the Current Population Survey, the number of self-employed Latinos or African Americans has increased significantly since 2019.
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This same data shows that from 2019 to 2023, there was a 26% increase in the number of self-employed Latino workers in the United States.
Federal programs have helped Latino small businesses
The Treasury Department notes that Americans, including Latino entrepreneurs, filed nearly 10.5 million applications to start new businesses between 2021 and 2022.
“In order to sustain small business growth, record demand has been met with new federal resources,” the Treasury Department notes.
In 2022, according to the aforementioned SLEI report, Latino-owned businesses were 50% more likely to apply for financing than white-owned businesses; With plans to use the funds to expand its business, acquire additional capital assets and cover operating expenses.
These data demonstrate the growth of the Latino community since Joe Biden’s term. Additionally, the contribution that Latinos make to the U.S. economy was reaffirmed.
