President Biden Announces New Investments In Black Businesses

By Stacy M. Brown
NNPA Newswire Senior National Correspondent
@StacyBrownMedia

During President Biden’s recent visit to the Wisconsin Black Chamber of Commerce, he showcased the unprecedented growth of Black small business ownership under his administration. In a press call, top White House officials attributed the surge in Black entrepreneurship, the fastest in 30 years, to Bidenomics, which the president pledged would receive further support through new investments targeting underserved communities.

Hero Plumbing, a Black-owned business in Milwaukee dedicated to removing lead pipes, is at the forefront of this success story. The Bipartisan Infrastructure Law’s historic $15 billion funding allocation will help the company fulfill President Biden’s promise to do away with all lead service lines by the end of the decade.

While highlighting his administration’s significant investments in small businesses, particularly those owned by Black entrepreneurs, President Biden still faces opposition from some Republicans in Congress. However, administration officials said, despite GOP resistance, the American Rescue Plan played a vital role in sustaining small businesses during the pandemic.

Biden’s commitment to fostering opportunities for working families and small business owners is contrasted with Republicans in Congress advocating a return to failed trickle-down economics. Officials said Biden remains steadfast in his belief that diversity is crucial for economic security, making unprecedented investments in Black communities to safeguard the American dream.

Investing in Black Entrepreneurship and Opportunity

Administration officials noted that Biden’s “Investing in America” agenda has catalyzed historic gains in small business creation and entrepreneurship. They reported that a record 15 million applications to start new businesses had been filed since he took office, with Black business ownership growing faster than in three decades.

The administration’s investment in Black entrepreneurs has yielded positive results, including:

• • A new record of nearly $70 billion in federal contracts awarded to small, disadvantaged businesses in FY 2022.
  • $12 billion allocated to community lenders to expand access to capital, resulting in an estimated $50 billion increase in lending to Latino communities and a nearly $80 billion increase in lending to Black communities over the next decade.
  • $10 billion in support for states, tribes, and territories, with $79 million dedicated to Wisconsin for capital access programs benefiting around 100,000 small businesses.

Further, the White House said Biden’s American Rescue Plan (ARP) has been pivotal in supporting small businesses, including Black-owned enterprises. Key investments include:

• • • A $10 billion fund.
    • The Small Business Community Navigators Pilot Program provides $100 million to organizations supporting small businesses, significantly impacting Black-owned businesses.
    • The Minority Business Development Agency (MBDA) Capital Readiness Program is awarding $125 million to 43 non-profit organizations.

Biden’s Small Business Administration delivered $50 billion to small businesses in Fiscal Year 2023, with a focus on supporting underserved businesses, officials stated on the call. Federal contract spending on small, disadvantaged businesses reached a record-breaking $163 billion in 2022, exceeding the Administration’s goals.

“The president’s commitment to supporting small and minority-owned businesses extends to the clean energy sector, with investments in initiatives to grow disadvantaged clean energy businesses in underserved communities,” a senior official stated.