Small businesses in Southwest Virginia are the heart and soul of the community. During the COVID-19 pandemic, small businesses have been struggling to keep their doors open. Company execs have encountered staff layoffs and the loss of revenue that have impacted them mentally and emotionally. As a small business owner, I totally understand the hardships, the sacrifices and the stress of doing business during a pandemic – a pandemic that has taken lives and killed business.
Our government has aided local businesses to help them stay afloat while we work our way through COVID-19. Small Business Administration (SBA) loans, CARES Act funding and Paycheck Protection Program (PPP) loans have been wonderful tools in trying to stabilize a very back-and-forth business environment. Even with the access of those financial tools, there is a constant struggle to keep businesses afloat.
As we work to get our economy back on track, the business community must look at ALL financial ideas to make sure that capital for communities of color stays consistent and flowing. I suggest an endowment for the African American community be established in Southwest Virginia. The sole purpose is to provide funding opportunities to businesses that receive no funding from traditional business institutions. Last year, U.S. companies raised record amounts of venture capital at just under $150 billion. But of that capital, only $1 billion went to Black or African American startup founders, which comes out to less than one percent of total funding. These figures are embarrassing and are a disgrace since the African American population is steadily growing – 4.6 percent in our community. Creating this endowment is one of many long-term strategies to help combat the generational wealth issue in Southwest Virginia.
Now is the time to look at non-traditional, effective ways to assist our businesses of color. That assistance needs to be geared toward stabilization and growth as well as we work toward the post COVID phase.
Small businesses in Southwest Virginia are the heart and soul of the community. During the COVID-19 pandemic, small businesses have been struggling to keep their doors open. Company execs have encountered staff layoffs and the loss of revenue that have impacted them mentally and emotionally. As a small business owner, I totally understand the hardships, the sacrifices and the stress of doing business during a pandemic – a pandemic that has taken lives and killed business.
Our government has aided local businesses to help them stay afloat while we work our way through COVID-19. Small Business Administration (SBA) loans, CARES Act funding and Paycheck Protection Program (PPP) loans have been wonderful tools in trying to stabilize a very back-and-forth business environment. Even with the access of those financial tools, there is a constant struggle to keep businesses afloat.
As we work to get our economy back on track, the business community must look at ALL financial ideas to make sure that capital for communities of color stays consistent and flowing. I suggest an endowment for the African American community be established in Southwest Virginia. The sole purpose is to provide funding opportunities to businesses that receive no funding from traditional business institutions. Last year, U.S. companies raised record amounts of venture capital at just under $150 billion. But of that capital, only $1 billion went to Black or African American startup founders, which comes out to less than one percent of total funding. These figures are embarrassing and are a disgrace since the African American population is steadily growing – 4.6 percent in our community. Creating this endowment is one of many long-term strategies to help combat the generational wealth issue in Southwest Virginia.
Now is the time to look at non-traditional, effective ways to assist our businesses of color. That assistance needs to be geared toward stabilization and growth as well as we work toward the post COVID phase.
Tags: Financial, small business
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