Breaking through barriers in banking: Allyship for LGBTQ+ and diverse business owners

LGBTQ+ business owners are a driving force in the American economy. According to the National LGBT Chamber of Commerce, more than 1.4 million LGBTQ-owned businesses in the U.S. contribute an impressive $1.7 trillion annually to the national economy. Their presence is growing in diverse industries — from tech startups and wellness brands to food, retail and creative services — shaping culture, creating jobs and building community.

The impact is clear. But for many queer entrepreneurs, the path to business success is harder than it should be. Disproportionate barriers — especially around funding and financial access — often stand in their way. That's where trusted financial institutions like Citizens can help drive meaningful change.

Being a true ally in the financial space means more than celebrating Pride each June. It's about delivering inclusive support year-round — through education, outreach and meaningful investment. At Citizens, that means:

• Creating an inclusive workplace for colleagues.
• Supporting LGBTQ+ customers with culturally competent guidance.
• Volunteering, listening and growing with the needs of LGBTQ+ entrepreneurs.
• Contributing to the welfare of the community by supporting initiatives like Queens Night Market Pride Night.

Together, we can build a more inclusive future — one where every business owner has the opportunity to thrive.

Understanding systemic barriers

Data tells a powerful story. A 2022 study by the Center for LGBTQ Economic Advancement & Research and the Movement Advancement Project found that 46% of LGBTQ+ small business owners received none of the funding they applied for, compared to 35% of non-LGBTQ+ owners. Even more troubling, nearly one-third reported being denied because lenders "don't finance businesses like theirs."

These statistics reflect more than personal setbacks — they point to systemic inequities in business finance. When LGBTQ+ business owners are denied capital, the consequences ripple outward: slowed growth, underfunded operations and financial strain that can affect both personal and community well-being.

Why the gap? There's no single reason, but several factors contribute:

• Implicit bias and outdated lending criteria can overlook the potential of diverse businesses.
• Limited outreach from traditional financial institutions that may leave LGBTQ+ business owners feeling excluded or misunderstood.
• Discrimination fears that may lead some entrepreneurs to not disclose their identity, making it harder to access tailored resources or support networks.

These challenges limit economic opportunity and send the harmful message that some businesses are less worthy of investment. That's a narrative that inclusive institutions like Citizens are working to change.

Overcoming financial barriers

Every entrepreneur deserves to work with financial partners who see the full picture — who understand their vision and believe in their ability to succeed.

For LGBTQ+ business owners, choosing a bank that values inclusion can make all the difference. The right institution can:

• Help navigate lending processes and compare funding options.
• Connect owners to grants and community development financial institutions.
• Offer guidance through mentorship, guidance, and networking.
• Support long-term growth through advocacy and culturally aware advising.

Citizens provides comprehensive banking services for all customers, including LGBTQ+ entrepreneurs. Through initiatives like our supplier diversity program and grants for small and minority-owned businesses, we continue expanding access to capital and promoting financial empowerment.

Taking part in Pride all year long

At Citizens, we believe allyship is a year-round commitment. That means showing up for LGBTQ+ business owners — not only in June, but every day — with responsive support, ongoing education and inclusive financial tools.

Funding challenges are real, but they are not insurmountable. With trusted partners and a growing ecosystem of advocates, LGBTQ+ business owners can continue to lead, innovate and uplift communities.

When queer-owned businesses succeed, they can build personal and generational wealth and build safer, more inclusive spaces for everyone.