Black Women Entrepreneurs Address Election Impact On Communities And Businesses

localbuzzatx.com | October 28, 2024 | News, Uncategorized | No Comments

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In a pivotal discussion, a panel of Black women entrepreneurs from key swing states gathered to explore the implications of the upcoming election on their businesses and communities. They highlighted specific challenges, such as rising costs and the need for strategies to build consumer trust in Black-owned businesses, indicating the hurdles they face in a competitive market.

The dialogue extended to a critical comparison of the economic performance under the Biden-Harris administration versus the previous Trump administration, with particular attention to proposed tax credits from Kamala Harris designed to support small businesses. The panelists also examined the impact of immigration policies on job availability for Black Americans and underscored the importance of mentorship programs.

Throughout the conversation, the entrepreneurs stressed the necessity of informed voting and the critical need to support both Black women and men in entrepreneurship as vital considerations for the upcoming 2024 election.

The economic recovery post-pandemic has seen sharp increases in costs from groceries to housing, which many consumers attribute to businesses exploiting market conditions. According to an NBC Survey Monkey poll, over 60% of Americans believe corporations are taking advantage of inflation to raise prices. With small businesses historically being pillars of the black community, there’s an opportunity to restore trust.

Dr. LaNée Javet from Arizona is a Business Coach and Monetization Strategist at Upscale Noire Media. In her capacity, she helps black entrepreneurs build their brands and revenue. When asked what strategies she could share for how black-owned businesses can bridge this trust gap, she said: “Because you’re in the community, people can get to your product quicker, sooner, faster. People are looking for ways to be more entrepreneurial and do more things in the community. So, this is a great time for black business owners to partner and keep our money in our communities. Keep our dollars circulating in our community. We have cousins and friends and ourselves who are doing business and we should be doing business laterally with the people that we know.”

Quanesha Johnson from Pennsylvania owns BTG Counseling and Educational Services. She added, “Additionally, we over-index as a community in resources. So the research says that like when we get our hands on it, we have so much buying power. It is so important that we’re able to circulate that money in our community and promote the resources amongst each other. And as Dr. Javet said, it’s expensive for everyone, but we have to think about how we’re pricing as businesses. Value-based pricing. There’s a value to what we’re offering. And so we have to promote through our conversations, our connections, through the discourse that goes on in our nation that our services, our businesses are powerful.

Donald Trump continues to criticize the current administration’s handling of the economy, claiming that under the Biden-Harris administration, the US is facing one of its worst economic downturns. Meanwhile, the Bureau of Labor Statistics recently reported a decline in the unemployment rate, steady wage growth, and over 200,000 jobs added in September 2024, suggesting economic resilience.

Dr. Sonia Lewis is the founder of The Student Loan Doctor LLC based in Pennsylvania. She’s seen her clients’ financial situations change in a variety of ways during the two different incumbencies. She said: “It’s telling because during the Biden administration, one of the things that we’ve significantly seen is that student loan debt be forgiven and decreased, which allows particularly for the African American community to have in. I’m excited about that because I tell you, when you talk about spending when you talk about home buying, when you talk about investing, these things sometimes are stifled by student loans. And being that billions of dollars have been forgiven through the Biden administration, these things are now possible.”

Stephanie Alston leads the Black Girl Group Recruiting Agency in North Carolina. In regards to claims of declining unemployment numbers, she said: “It’s important for us to note that we do have flaws in our reporting and data system right now. Oftentimes, when we see these unemployment numbers that are being reported as low, we have to also remember that people are also falling off of unemployment and still don’t have jobs, especially those who are black and brown. There is no way for the US Government to continue to track those individuals who are either unemployed or underemployed once their four to six weeks of unemployment come to an end. I think we also have to address that the jobs added number could also be flawed because what we’re starting to see in the job economy right now is an increase in what we like to call ‘ghost jobs,’ which are jobs that companies are posting that don’t exist. Many companies are doing this because it becomes a false indicator of growth for their companies, especially during the economic downturn. So, if you want to look like you’re growing as a company, what do you do? You post open jobs, but those jobs don’t exist. People apply for them, but those jobs remain vacant because they were never meant to be filled anyway. So I think before we can begin to celebrate under any administration that jobs are being added and that unemployment has dropped, we have to make sure that we’re going on the ground and talking to individuals and identifying who’s really employed, who’s really hiring and what can we do to fix this flawed system right now.”

Vice President Kamala Harris has proposed a small business tax credit plan as part of her campaign platform, aiming for 25 million new small business applications. Meanwhile, Trump’s proposed tax cuts could add $7.5 trillion to the national debt over 10 years, according to the Committee for Responsible Federal Budgets.

Dr. Javet, with her focus on helping service-based businesses grow, shared her predictions for how a proposed $50,000 tax credit will significantly impact your small businesses’ abilities to scale.

“One of the major things we have going on in our community is lack of access to capital,” she said. “So if we can’t go into the bank and get money, then we should be able to take the money that’s coming into our business and reinvest it and receive a tax credit. It’s not writing a $50,000 check to these businesses, but it’s giving them $50,000 of their revenue to reinvest into their business. That’s advertising, that’s R and D, that’s product development, that’s investing in conferences, inventory, and [other] things that they can’t normally do. When we talk about the stereotypes in black businesses, a lot of it is around not having access to capital to invest in our company so that we can hire employees, so that we can get coaches, so that we can go to conferences. And we don’t have the same business acumen as everyone else all the time, or rather access to the business acumen that everybody else does. So, I do think that taking the time to invest in 25 million businesses by way of a tax credit would be super beneficial.

And speaking of hiring employees, Alston added: “I think it will present a unique opportunity for us to be able to hire in ways that we probably have never been able to hire before. As black women, we have to work twice as hard; I’ll say even three times as hard to get half as far. So, to be able to utilize this tax credit to help us hire, I think it will be extremely beneficial, especially to black women-owned businesses. I think that in addition to that increased tax credit, I definitely think that we also need to have more opportunities for grants. One thing that we’ve seen between both administrations over the last several years is that oftentimes, grants are given to small businesses, but that money is not directly put into our hands. They’re put into accelerators. They’re put into other programs that are created by large corporations. And while these programs are great, they don’t actually put money into our pockets as small business owners. We need to make sure that going into this new administration, whoever it is who wins, we make sure we hold them accountable and we make sure that we actually do get the funding that we’ve been promised to move forward and scale in the way that we hope to.

Trump’s immigration rhetoric particularly focuses on job displacement among black Americans, and he contrasts these reports with sustained job growth and an increase in job openings under the Biden administration. The narrative around job competition remains divisive. So, attorney Jamie, how have you seen immigration policy affect job ability and legal considerations for black-owned businesses?

Atty. Jamie McClendon from Wisconsin said: “I think what Trump is doing is playing into pinning brown versus black, which is a really kind of old-fashioned way [of thinking fueling] a fear of everyone kind of joining together. Realistically, I don’t think that competition is there. I think that there is plenty of room for everyone to work, have their own businesses, and be supported by the community. And I think that is something that Kamala and her administration are really focusing on making sure that everyone has the same and equal opportunities to either start their own business or find employment. And so I think that their message, again, is that we can lift up everyone.

We don’t have to push someone else down to be able to get ahead is the more positive and forward-looking message. Well, obviously the Trump campaign wants to focus on fear. So, within my community, I live in Wisconsin. I’m not exactly a rural person, but I live close to a lot of rural areas. I see all types of people working out there. And I don’t think that there is a shortage of jobs. I think that it is something again, that is used to be divisive as opposed to being factual and what everyday people are actually experiencing.

Kamala Harris recently announced a plan that includes forgivable $20,000 loans for black entrepreneurs, investments in mentorship programs, and educational opportunities tailored toward black men. This is part of her broader effort to address disparities in access to capital.

Johnson, whose business serves at the intersection of mental health and education, discussed how programs like these reshape opportunities for black men and influence economic outcomes for black women.

“The playing field has not been leveled.”, she said. “We know that black women are the fastest growing entrepreneurs, yet we receive the smallest amount of capital. Having an opportunity to receive that access is going to be so powerful. As a therapist in Pennsylvania, I see how money induces so much stress for people, for business owners, for people trying to buy groceries. Financial stress is a big thing. So, if nothing else, if there is access to resources, to money that is going to help and alleviate some of those financial stressors, that’s a plus in itself. And when we talk about the resources, the education, the ability to be able to hire, that $20,000 can go a very long way.”

Dr. Lewis, who has over 14 years of practical higher education and financial aid experience, addressed how these policies will impact the broader wealth gap and access to financial resources for the black community.

“I think this initiative is exciting because it’s inspiring hope in the community. It’s not the end all be all of leveling the playing field, but it does help get people in the game.”, she said. “There are a lot of dreams that go unfulfilled because there are no resources to fuel those dreams. I think that what we’re going to see is that people are going to start taking chances and betting on themselves. I did not have $20,000 when I started my business, which is doing really well now. But if I had $20,000, how much further could we have been?”

In closing, the panelists were asked to look toward Election Day and state their message to other black business owners watching this political landscape unfold.

Dr. Lewis critiqued, “If Vice President Kamala becomes President Kamala Harris, we’re hoping that she continues the work that she’s been doing with the Biden administration. No guarantee there. I’ll be very transparent and also say one of the things that I was unsure about when they had the debate was where she stood on the issue of student loan debt. That didn’t get discussed. But the good news is what we’re seeing through Secretary Cardona is that the conversation of forgiveness should still happen.”

Dr. Lavet said: “We throw a lot of money at black women and their education. And I mean, I appreciate it. Thank you. Keep throwing the money at me. But we also need to make sure that the black men are seeing some of these same successes and there’s not a lot of that. And if we go back historically with regards to conversations, never before have we had these types of conversations about the success of black men in entrepreneurship. And so I love that she’s on this tour, the opportunity agenda for black men.”

Attorney McClendon reflected on Harris’ relatability: “What I’m excited about with, hopefully, this administration with Kamala Harris is that I think that she understands the working class a lot better than Trump, who had to have a show at a McDonald’s just to prove that he could for a few minutes work in a closed McDonald’s. I think that’s absolutely ridiculous. And so when I think about her experience and her qualifications, what she had to do to get to where she is, where she was a prosecutor, where she was the attorney general for the largest state in the union, she was also a senator, I think she was on the intelligence committee, and she’s currently the vice president, to have her still have to be questioned as to whether or not she’s ready, whether or not she has the qualifications. And we’ve all had to experience that to even get to where we are today. I think that’s what’s giving me hope. And I do agree that I think there is a focus on black women. I do think that black men get fall behind. But I still think that black women have this kind of extra hurdle to always prove that we are experienced and that we belong in that room. So that’s what I’m excited about with her administration. But I also know how much her administration wants to focus on the working class people. It is absolutely crazy that probably all of us on the screen pay more in federal taxes than a former president of the United States. And the final thing that I would say that is really important about Kamala winning this election is the Affordable Care Act. I would not have been able to start my practice and work for myself if that was not available. I would have had to rely on an employer because I would not have been able to afford it, and I have a preexisting condition and so they could have rejected me. So those are all things that are important to be able to continue to work for myself.”

With a dose of the reality that we do not know what the outcome will be, Alston added: “I think as small business owners, we have to be very mindful that whether [the outcome is] red or blue, money is still green. And we have to be very intentional, no matter what, that we continue to secure a seat at the table for one another. Because we can’t afford to stop fighting, no matter who gets into the office. Because at the end of the day, when one of us wins, we all.”

Finally, Johnson urged voters to go to the polls as informed as possible. “We are inundated with media and information that we get in sound bites. As an entrepreneur, what we need to look at is why you started your business. Focus on your ‘why’ for your business. I know for me, I think about access, opportunity, flexibility, and legacy for my children. So, when I’m approaching this election, I want others to look at it from the same standpoint. “What is your why?” These are politicians. There are some limitations to being the president. Whenever we’re going to the polls, go with information, not with sound bites,” she said. “And when someone shares false information about a candidate or there’s some statistics that are faulty and they’re not right, interrupt it with the truth.”

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