In 2023, Hispanic and Latinx entrepreneurs accounted for 12% of new businesses, continuing a growing trend since 2019. These founders are driven by a desire for flexibility, long-term stability, and community impact. Nearly 60% of Hispanic and Latinx founders cited building a financial asset as a reason for starting their business, compared to 40% of all entrepreneurs. Notably, 46% of Hispanic and Latinx entrepreneurs aimed to create jobs in their communities, reflecting a broader commitment to economic growth and local support. The community services sector attracted 21% of these founders, showing their dedication to addressing essential needs like healthcare and education.
Many Hispanic and Latinx entrepreneurs start their businesses as side-hustles, with over half (51%) balancing employment while launching their ventures. These founders often rely on personal funds or private loans for startup capital, demonstrating resilience and resourcefulness, especially in the face of limited access to traditional financing options. Despite the challenges, Hispanic and Latinx entrepreneurs are making a significant impact on their communities and the broader economy, using their businesses to create both personal opportunities and long-term community development.
