- Sees 2023 organic sales growth of 6-7% vs 8-10% before
- Sees operating margin down 150 bps vs up 100 bps before
- Shares drop as much as 60%, hitting rivals in Europe, US
More than one-in-five Black adults in the United States say owning a business is essential to financial success, according to a September 2023 Pew Research Center survey. While Black-owned businesses have grown significantly in the U.S. in recent years, they still make up a small share of overall firms and revenue, according to our analysis of federal data.
Pew Research Center conducted this analysis to examine the characteristics of Black-owned businesses in the United States. The analysis relies primarily on data from the 2022 Annual Business Survey (ABS), conducted by the U.S. Census Bureau and the National Science Foundation’s National Center for Science and Engineering Statistics.
The survey – conducted annually since 2017 – includes all non-farm U.S. firms with paid employees and receipts of $1,000 or more in 2021. Firms are defined as businesses “consisting of one or more domestic establishments under its ownership or control.” Majority business ownership is characterized in the survey as having 51% or more of the stock or equity in the firm. The Census Bureau counts multiracial firm owners under all racial categories they identify with; Hispanic firm owners may be of any race. Read more about the ABS methodology.
In 2021, there were 161,031 U.S. firms with majority Black or African American ownership, up from 124,004 in 2017, according to the latest estimates from the Annual Business Survey (ABS), conducted by the U.S. Census Bureau and the National Science Foundation. Black-owned firms’ gross revenue soared by 43% during this timespan, from an estimated $127.9 billion in 2017 to $183.3 billion in 2021.
Despite this growth, majority Black-owned