DALLAS (KDAF) — February is Black History Month and according to SmartAsset, Black Americans make up the third-largest racial/ethnic group in the country. However, less than 3% of all businesses are Black-owned.
So, if you’re looking to start a new business, you might need to know which places in America are the best for Black entrepreneurs.
SmartAsset conducted a study to find the best metros for Black entrepreneurs in 2023, “We considered 39 of the largest metro areas across three categories and a total of nine metrics on topics such as the prevalence of Black-owned businesses, new business success, and income and job security.”
Not only did four Texas metros make the list, but, Austin-Round Rock-Georgetown came in at the No. 1 spot followed by Houston (12), San Antonio (19), and Killeen (34).
The study found, “The fourth-largest metro area in Texas has seen an 88.27% increase in the number of Black-owned businesses between 2018 and 2020 (ranking second-highest for this metric).
“In that fast-growing environment, more than a third of total businesses are younger than three years in the Austin metro area (ranking No. 1 for this metric). Additionally, the area does well for Black American job security, offering the lowest Black unemployment rate study-wide (6.6%).”
SmartAsset also found that Toledo had the highest percent change between 2018 to 2020 which was followed closely by Austin with 88.27% change.