Report details gaps faced by Black women entrepreneurs

A new report, produced by Toronto-based market research firm Pitch Better and based on an online survey of more than 1,500 Black women-led for-profit and non-profit businesses in Canada,finds that Black women often struggle with a lack of networks and mentorship, which results in lower yields for their business ventures.

Survey respondents also reported that the under-representation of Black women in business and customer bias against Black-owned businesses have negatively affected their ability to navigate the Canadian business ecosystem.

Differences in perception across racial groups contribute to unique hurdles faced by Black businesswomen, the report said.

The report referenced a U.S. study that found “Black women startup founders raise $36,000 on average, while the average (mostly white male-led) failed start-up raises $1.3 million.”

More than 43 per cent of the respondents reported raising no external funding in the creation of their businesses.