Pittsburgh Is Among US Metros With The Lowest Rate Of Black-Owned Businesses: Here’s The Breakdown

Online lending marketplace LendingTree published a new study on places with the most Black-owned businesses in the United States, based on the US Census Bureau Annual Business Survey data.

Fayetteville, NC was found to have the highest percentage of Black-owned businesses in the US. Other metros in the South — including Washington, DC — join Fayetteville at the top of the list.

Pittsburgh, however, ranked the lowest out of the 50 American metros listed, with a mere 1.0% of small businesses being Black-owned — a percentage that falls below the national Black business ownership rate of 2.4%.

It found that in Pittsburgh, only 428 out of a total 41,379 businesses were Black-owned, a figure that put the province below San Diego, Providence, Seattle, and Phoenix in terms of Black-owned business percentage.

All of these metros, the report pointed out, also have Black population percentages that are lower than the national average of 12.8%. (The Pittsburgh metro’s population is 8% Black.) That means that the metros with the lowest percentage of Black-owned businesses also tended to have smaller Black populations.

The percentages in the LendingTree study for each place were calculated by finding the amount of Black-owned businesses within the total amount of businesses in a metro area. Business ownership was defined as anyone who has a stake of 50% or more in a company’s stock or equity.

Research also found that Black-owned businesses are more heavily concentrated in the health care and social assistance and transportation and warehousing industries. 

A total of 36% of Black-owned businesses are in one of these two industries, with health care and social assistance making up the vast majority at 29.5%. Overall, 14.7% of businesses are in one of those two industries regardless of race.

Black-owned businesses are significantly more likely to be woman-owned than the national average, according to the report, which added that 35.4% of Black-owned businesses assessed are woman-owned, compared with 20.9% overall woman-owned businesses.

The full report is here:

Abbianca Makoni

Abbianca Makoni is a content executive and writer at POCIT! She has years of experience reporting on critical issues affecting diverse communities around the globe.

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