Three years after pandemic-era funding led to a boom in Black-owned businesses in the US, the cohort of entrepreneurs seeking to expand is facing the same barriers to capital that hampered generations of owners before them.
In 2023, just 32% of Black owners were fully approved for a loan or line of credit, compared to 56% of White entrepreneurs, according to a March report from the 12 regional Federal Reserve Banks. Black owners were also more likely to have to use personal funds to address financial challenges.
As government aid during the pandemic helped many Black households save and build ...