Still yet to take the plunge into minority business and explore a whole lot of opportunities it has to offer? Here is what Donnette Dawn Thomas, a successful entrepreneur, business consultant, and minority business expert has to say.
A business owned or operated by minorities, racial or women in the united state, minority business are businesses registered across the country, state and local as disadvantaged business enterprises. From earning both government and private contracts to access to favorable government programs, owning a minority business sure comes with a lot of opportunities. However, with a cost: Certifications. If you run a business that meets Minority-Owned Business, getting certified is a must to avail of the benefit. Lets explore with Donnette Dawn Thomas what minority business means and the benefits of becoming certified. Read on!
What is Minority Business?
Minority Business is a term used in the United state to refer to business which is at least 51% owned, controlled and operated by the minority or economically disadvantaged group, as stipulated by the National Minority Supplier Diversity Council (NMSDC). The group of people must be:
African Americans: Individuals having an origin from any of the black racial groups of Africa.
Hispanic Americans: individual form Hispanic origin or any US citizen from any of the Spanish speaking areas such as Mexican, Dominican, Puerto Rican, Cuban, Central or South American.
Asian Americans: or Pacific Islander including West Asian American and East Asian Americans whose origins are from Thailand, Korea, India, China Filipino, Indian, Japan, and more
Native Americans including individuals that are Aleuts
Hence to be approved or certified as a minority-owned business by the NMSDC, here are the requirements that must be met:
- Business owners must be citizens or permanent residents of the US to be eligible.
- Businesses must be physically located in the US or the trust territories.
- Business must be at least 51% owned and operated by a minority, that is someone who is at least 25% Asian, Black, Hispanic, or Native American.
- Business must be for-profit and must be managed by minority member(s) or owner(s).
Benefits of minority-owned business with certifications
Funding from government
The government set aside billions of dollars every year to fund projects from minority businesses. The business field is highly competitive and minority-owned businesses tend to face challenges. Funding from the government helps bridge the gap and level the playing field as these startups compete with the well-established ones. Donnette Dawn Thomas says Minority-owned businesses work with different organizations provided by the government to get a grant that fits their profile which helps in boosting their business. The government gives them the chance to be creative, start something of their own and also make a name for themself in the business world while providing job opportunities in their local area.
Provides training and Workshop
The government helps the minority-owned business to grow and strengthen their business by organizing special training, special programs, and workshops for all the workers to equip them on how to manage the business. Moreover, they provide guidance and counseling, management and technical expertise from the larger organizations to help in all fields of your management, and provides a connection for you in the business market. This opens up more opportunities in the corporate world.
Owning a minority business provides a wide range of market opportunities for you as you can compete with bigger organizations in the business world. it helps you to be able to bid for government contracts at the federal, state and local levels as a certain percentage of the government contract is set aside for the minority each year. Moreso, there are fortune 500 companies that issue out many contracting programs for minorities. Therefore, getting certified put you at more advantage and position you at the forefront of these opportunities.
Special support is often given to minority businesses by the state government to help in the stability of the business. Each state has various programs organize for the companies and every year, each state sets aside a specific number of contracts for them. They also support them with medical bill assistance, educational assistance, utility bill assistance and so on depending on their locality and business.
Additional resources are also provided by the government for minority businesses on how to secure more opportunities. These include educational resources, programs and many more that small business owners can learn from in order to grow and develop a successful organization.