Most Black female entrepreneurs face barriers to financing: report

Credit: Jakub Mosur Photography

TORONTO — A study has found the vast majority of Black women who are entrepreneurs in Canada say they face significant barriers to financing, including the cost of borrowing.

The report released by the Black Business and Professional Association looked at how the pandemic has affected Black female entrepreneurs who have been harder hit and less likely to have access to support.

It found that 78.5 per cent agreed or strongly agreed that access to financing was an issue, while 74.7 per cent said the cost of borrowing was an issue.

The report said Black women were often pushed to start their own businesses after experiences of workplace bias and racism.

The group’s president says the pandemic has put many businesses in jeopardy, added to barriers like systemic discrimination and anti-Black racism that Black female entrepreneurs already face.

Nadine Spencer says the report shows that support for Black women entrepreneurs must increase as Canada moves to economic recovery.

The group says the study was done through analysis of data from 700 Black women who are entrepreneurs.

This story was produced with the financial assistance of the Facebook and Canadian Press News Fellowship.