4 ways to support black-owned businesses

Black-owned businesses represent only around 3% of all small businesses in the U.S. Though the number is rising rapidly, these businesses still face unique challenges to their success. Lack of access to funding, mentorship and other disparities mean that many Black entrepreneurs struggle to launch their businesses. The Black-owned businesses that do get enough capital and support to start up often fail at a higher rate, which makes consumer and community support for these businesses vital to their success.

Luckily, you can support Black-owned businesses in many ways — check out these four ideas to get started.

1. Shop at Black-owned businesses

The most obvious way to support Black-owned businesses is to become a customer. If you're unsure where to find Black-owned businesses to meet your shopping needs, websites like ByBlack and the Black Business Greenbook are great places to start. You can find online and local businesses that fit the bill.

2. Promote Black-owned businesses

Word of mouth is an excellent way to find businesses and show your support. If you have a favorite Black-owned business, consider promoting them on your social media channels, especially if you have a large following. Similarly, writing positive reviews on sites like Yelp can help other consumers find these businesses and help the business owners too. Your efforts can raise the visibility of Black-owned businesses and create free marketing — this is particularly helpful since small businesses often have low marketing budgets.

3. Invest in Black-owned businesses

For many Black-owned businesses, startup funding and working capital can be difficult to attain. So, investing in them is another way to help Black entrepreneurs get started and succeed. Talk to a financial expert to evaluate investment opportunities and explore ways to invest in a startup.

4. Include Black-owned businesses in community events

Having a community of small business owners to lean on for support, information and new opportunities can be the difference between success and failure. That's why including Black business owners in your community of entrepreneurs is so important.

Networking is key for any small business, so making a point to diversify who is invited to any networking groups or events you attend can make a difference. Be sure to invite Black business owners not just as attendees but also as speakers whenever possible. Similarly, passing along other opportunities, like funding or mentorship, to Black small business owners can also help address these businesses' obstacles to success.

Raising the number of successful Black-owned businesses in the U.S. is important for the business owners themselves, but supporting these businesses can also lift up the entire community and have an even greater impact.