Diversity in Business: Resources for Minority, Women and LGBTQ Business Owners in Massachusetts

There are more than 20 million businesses owned by minorities, women and LGBTQ individuals in the United States. Research shows these business owners typically receive less funding. For example, only 11 percent of minority-owned firms have paid employees, compared to 22 percent non-minority firms. Studies have shown that male entrepreneurs are more likely than female entrepreneurs to raise $100,000 or more of outside funding for their startups, which can impact their ability to rent office space or expand on their vision.

Greg Almieda, CEO of Global View Communications, a diversity and inclusion business strategy firm – has worked with Rockland Trust for many years. He suggests that every business owner develop their own personal network:

“Every individual’s network looks different. Some are comprised of entrepreneurial family members or friends, while others are business contacts. A robust network can help you start, grow and evolve your business, as well as offer moral support when you need it.”

Groups for Support

There are many groups across Massachusetts that provide support, such as mentors, to businesses owned by LGBTQ individuals, minorities and women. This can help in expanding your network and learning how to navigate challenges you may face. Below are some examples:

• SCORE - Boston, South Eastern Massachusetts or Rhode Island
  • Supported by the Small Business Administration (SBA), SCORE is a nonprofit that helps small businesses get off the ground through the help of retired business professionals.
• Women Entrepreneurs Boston
  • This City of Boston program provides a network of mentors and support for female entrepreneurs.
• Center for Women & Enterprise
  • This organization is a nationally known nonprofit that has chapters in Eastern Massachusetts and Rhode Island to assist women in those areas with starting and growing businesses.
• The Commonwealth Institute
  • This nonprofit helps businesswomen in leadership positions advance. It offers a great opportunity to network with women working at and owning businesses of all sizes.
• Massachusetts LGBT Chamber of Commerce
  • This group promotes the economic viability and growth of LGBTQ-owned and allied businesses in Massachusetts, including LGBT Business Enterprises certification.

There also are some state and federal programs that may help. For example, you can be certified by both state and private organizations.

Why can certification be helpful?

The benefits include differentiation from other businesses that are not certified and it can be advantageous, especially if your business deals in government contracts.

Some business owners decide against certification because the process is long and tedious, requiring business owners to divulge a lot of company information. The choice is up to each individual business owner.

Certification options:

• The Small Business Administration's 8(a) Business Development Program
  • This program offers business assistance, such as mentoring, training or financial assistance, to businesses that are mostly owned or controlled by socially or economically disadvantaged individuals.
• Supplier Diversity Office in the Commonwealth of Massachusetts’ Operational Services Division
  • This office certifies businesses as Massachusetts Minority Business Enterprises, Women Business Enterprises, Veteran Business Enterprises, and Portuguese Business Enterprises.
• Women’s Business Enterprise National Council
  • This certification confirms that a business is at least 51 percent owned, controlled, operated or managed by a woman or by women, and can lead to opportunities designated for women-owned businesses.
• National Minority Supplier Development Council
  • This organization helps organizations of all sizes solve the need for supplier diversity.
• National LGBTQ Chamber of Commerce
  • This certification verifies that a company is majority-owned by LGBT individuals, allowing those businesses to generate prospective clients and develop contracting opportunities. 

 

You also may want to check out your local chamber of commerce to see if there are any groups dedicated to businesses owned by women, LGBTQ individuals or minorities that can connect you with resources within your community. These groups are a great place to find a local support network and possibly a mentor. Having a team of business advisors who can help you navigate challenges specific to your business is the key to success.

At the end of the day, make sure you have a financial partner that understands your needs and goals. Our dedicated staff of business bankers are always happy to talk to you about your business’s financial game plan.