State of Latino Entrepreneurship 2017

SUMMARY: This report provides insights regarding Latino entrepreneurship and the Latino business sector, focusing on financing and growth opportunities. Overall, Latino businesses are growing faster than the Latino population.

TALKING POINTS:

• The number of Latina-owned companies increased by 87% from 2007-2012 but around 40% of Latina entrepreneurs do not feel qualified to access funding from financial institutions.
• Millennials that came to the United States as children own 86% of scaled, immigrant-owned firms despite only 27% of Latino businesses being immigrant-owned.
• Latino firms secure the bank loans at the lowest rate of other groups with 12% while white firms secure 18.4% of bank loans.
• 9% of Latino businesses have international clients, leading with the highest rate.

BUZZ

• Prosperity Now, The State of Latino Entrepreneurship in 2017: What You Need to Know, Diego Quezada

https://prosperitynow.org/blog/state-latino-entrepreneurship-2017-what-you-need-know

• Palm Beach Multicultural Business News, State of Latino Entrepreneurship 2017, Gene

https://palmbeachmulticulturalbusinessnews.com/2018/10/29/state-of-latino-entrepreneurship-2017-report/

• Stanford Graduate School of Business, What’s Fueling Latino Entrepreneurship — and What’s Holding It Back, Kerry A. Dolan

https://www.gsb.stanford.edu/insights/whats-fueling-latino-entrepreneurship-whats-holding-it-back

• Hispanic Executive, SLEI Unveils Its 2017 State of Latino Entrepreneurship Research Report, Jonas Weil

https://hispanicexecutive.com/slei-stanford-sole-recap/

• Silicon Valley Business Journal, Despite Big Barriers, Latino Entrepreneurs are Outpacing All Others in U.S., Marlize van Romburgh

https://www.bizjournals.com/sanjose/news/2018/02/07/despite-big-barriers-latino-entrepreneurs-are.html

• The Hispanic Institute, Latino-owned Businesses Are the Fastest-Growing Entrepreneurial Segment in the United States Despite Funding Barriers, Rafael

https://www.thehispanicinstitute.net/blog/latino-owned-businesses-are-fastest-growing-entrepreneurial-segment-united-states-despite

DATE OF PUBLICATION: February 17, 2018

AUTHORS: Marlene Orozco (Lead Research Analyst for SLEI), Paul Oyer (Fred H. Merril Professor of Economics at the Stanford Graduate School of Business; and SLEI Faculty Advisor), and Jerry I. Porras (Lane Professor of Organizational Behavior & Change Emeritus at Stanford Graduate School of Business; SLEI Faculty Advisor; and Latino Business Action Network Cofounder)

ABOUT THE RESEARCHER: Stanford Latino Entrepreneurship Initiative (SLEI) is a research and education collaboration between Stanford University and the Latino Business Action Network (LBAN), a 501(c)(3) not-for-profit organization located in Palo Alto, CA. SLEI is housed at the Stanford Graduate School of Business.