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Old 12-23-2018, 10:16 AM
 
1,185 posts, read 612,672 times
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Quote:
Originally Posted by BlueZircon View Post
I am 24, black, and live and have lived in majority black neighborhoods. I find it a bit embarrassing to notice that many owners of businesses large or small in majority black neighborhoods are not owned or run by black people. Personally, I know next to nothing of economics, credit, and managing businesses overall.

Finance-wise, how or why did so many non-blacks manage to run nail salons, gas stations, restaurants, supermarkets, etc in black neighborhoods?

My intent is not to offend people but to seek advice on what can we as black people do to step up economically in terms of ownership and credit. I assume you have to have good credit, but what are some specific step-by-step guides in terms of the necessary paperwork such as licensing and permits, or if a degree is necessary, on owning and starting a business like a nail salon, beauty supply store, gas stations, restaurant, etc.

I live in the Miami, Florida area if that matters.
BlueZircon, you apparently have just indicated recognition of your need, and apparent desire and willingness to strive to both learn and do.
Quote:
Originally Posted by Ultrarunner View Post
Don't overlook that many of those mentioned are foreign born... they came here for most part driven to make good.
It is one thing working long hours as an employee and different when you are the owner or part of the family...
I live in Oakland and there are very successful small business... most I trade with are in the trades...
UltraRunner has not describing the general population mix, but rather those who were or are driven and/or attempting to instill that drive into their children's characters.

It's not a matter of race, and we are not all born to families enjoying equal opportunities. But the extent that we strive to take advantage of whatever resources are available to us, is matter determined by our own attributes. I wish you well.
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Old 12-23-2018, 10:43 AM
 
Location: State of Transition
74,590 posts, read 66,242,695 times
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Quote:
Originally Posted by Bp25 View Post
You need two things to start:
- Know how to run a type of business that you are interested in, and the best way to learn is to work at one of those.
- Access to capital via formal (banks) or informal methods. Most of those minority groups that you mentioned have raised capitals from family or community.


Permitting, licensing etc are necessary once you have the above two secured and are ready to start the business.
This is it, OP. They help each other. In one city where I lived, some of the photocopy businesses were owned by people from the Arab world. There seemed to be a community network, that would help someone open their own new shop, or buy an existing photocopy place for sale. It was a good niche for unskilled workers; when new immigrants arrived in their community, they were able to offer employment in these shops. I think these helpful contacts were made in their local community center. The AA community doesn't seem to have that level of economic resources, though; IDK.
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Old 12-23-2018, 10:48 AM
 
Location: State of Transition
74,590 posts, read 66,242,695 times
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Quote:
Originally Posted by turkeydance View Post
"...advice on what can we as black people do to step up economically..."
as posted above....
1. have a family willing to work for nothing. "they" do that. B.P. can too.
2. the job or work is the life. no TV. no church. no nothing else. again, they do that.
3. i have seen this too many times: do not extend credit. let the card handle that.
No church? IDK about where you live, but many urban areas have a well-attended mosque, and an Islamic community center, that organizes events. There are also Korean Buddhist churches, and so on. For some at least, I think religious attendance is an integral part of the "success" formula. Or the "survival" formula, in any case. "Success" may not be quite the right word, here.
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Old 12-23-2018, 10:51 AM
 
Location: Norfolk, VA
5,809 posts, read 5,550,922 times
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Quote:
Originally Posted by turkeydance View Post
"...advice on what can we as black people do to step up economically..."
as posted above....
1. have a family willing to work for nothing. "they" do that. B.P. can too.
2. the job or work is the life. no TV. no church. no nothing else. again, they do that.
3. i have seen this too many times: do not extend credit. let the card handle that.
We should extend credit to each other. But Black people are never going to do that.
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Old 12-23-2018, 11:11 AM
 
Location: State of Transition
74,590 posts, read 66,242,695 times
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Quote:
Originally Posted by Quietude View Post
I can beat that. My youngest two went to a fairly exclusive suburban private school for their elementary years (best choice, given that most California schools weren't suitable for my dogs, much less bright kids). The vast majority of parents were of a peculiar stripe - from the upper middle class, obviously, but of that kind where their father drove a pickup and called himself a builder, whereas they drove matching Escalades and were a "developer." Nouveau riche doesn't quite describe it. I'm sure other areas not so fueled by endless residential development have their types as well.

Anyway, in the "out" circle of parents (with us) was a quiet Vietnamese man of middle years. His daughter and ours were besties. It took us two full years to learn that, besides being a boat-person immigrant who now held a high position with a global tech firm, he held three PhD's... one from East Germany, where he qualified for state sponsorship back in the day, one from Sweden (in the chaotic years)... and one he had worked his way through Stanford as a post-post-grad when he was establishing himself here.

That whole situation has so many learning facets I am still finding them.
There's a Vietnamese community I read about in New Orleans' Lower Ninth Ward, the area that got the worst flooding, and resulted in refugees scattering as far away as where I live now, in New Mexico. The Vietnamese neighborhood banded together, and helped each other rebuild. They said they're used to helping each other, as a result of the war. It was how they survived, so they fall back into mutual-help mode, whenever something adversely affects the community. Their neighborhoods was back up and running in almost no time. You hear a story like that, and just think, WHOAA! Now, that's some resourcefulness, and resilience!
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Old 12-23-2018, 11:28 AM
 
Location: State of Transition
74,590 posts, read 66,242,695 times
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Quote:
Originally Posted by mysticaltyger View Post
You probably want to consult this guy's YouTube Channel and maybe reach out to him.

He goes way too far with the white supremacy stuff, IMO, but he still offers practical advice and doesn't let black folks off the hook for not doing stuff with their lives, not being more entrepreneurial, etc.

https://www.youtube.com/user/drboycewatkins/videos

In my opinion, a lot of it starts with the family. Building wealth and owning businesses starts with getting a good foundation. When you have a 70% out of wedlock birth rate, most people who grow up in such homes don't get the foundation they need to be successful in life. Pretty much all the statistics, even from liberal research institutes (such as Brookings Institution) back this up.

If you'll notice the family structure of small business owners of various ethnic groups, you'll tend to find a much higher prevalence of married 2 parent families as well as a strong extended family network. The emphasis on what's important in life generally is about delayed gratification (studying in school, working hard, etc.) The book The Triple Package by Harvard researchers Rubinstein & Chua talks about how economically successful groups in America get that way. They mention some of the characteristics of Nigerian immigrants, among many others.

Those who live with their biological parents do better in school and are less likely to get pregnant or arrested. They have lower rates of suicide, achieve higher levels of education and earn more as adults. Meanwhile, children who spend time in single-parent families are more likely to misbehave, get sick, drop out of high school and be unemployed.

https://www.washingtonpost.com/opini...=.460123571b53
The bolded/underlined is what I was thinking, too. Nigerians and East Africans do start businesses in the US. Import stores and restaurants, from what I've seen. They're able to make it work. OP, maybe find one of those, and talk to the owner, for ideas. It's called "informational interviewing". Could be productive for you.

In fact (pardon me while I riff on the idea), since you're looking for info and tips, you could turn the interviewing into a project. You could look for businesses like that all over your city, or all over your region, whatever that is. You could (maybe) have a chapter on African-owned businesses, along with the other ethnic businesses. Probably in your search process, you'd find a few Black businesses, too. You could turn it into a book. That's one book I'd want to read, and I have no interest in starting a business. Think of all the people who'd buy it, to get start-up ideas! It would also appeal to business students, and sociologists.

OP, you're sitting on gold, potentially!
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Old 12-23-2018, 11:36 AM
 
Location: Silicon Valley, CA
9,002 posts, read 6,115,836 times
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Quote:
Originally Posted by goofy328 View Post
Go into any dead mall. Most are in depressed neighborhoods, usually predominately Black, maybe Latino. All of the anchor stores are closed. Guess what stores are still open. DTLR, Journeys, Foot Locker, Jimmy Jazz. And you'll probably find a bunch of pop up stores selling similar merchandise that aren't national names. The Korean nail salons stay open. The Chinese restaurants stay open. Someone is selling soul food. It is what it is.

Give people what they want. Give it to them cheap. Keep your costs low.
Declining or dead malls aren't limited to low income neighborhoods. I live in Silicon Valley and an infamous dead mall is Vallco, which is in Cupertino, a very affluent community, and less than a mile from Apple's headquarters. It's more of a systemic issue regarding retail - you have the rise of online retail, and the malls with their high overhead costs, just aren't able to compete well unless they offer something unique - as you very well explain in your post.
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Old 12-23-2018, 12:24 PM
 
Location: Aurora Denveralis
4,595 posts, read 1,523,972 times
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It just occurred to me that I managed to tell the above story and not quite get to the point... Dr. Nguyen had to grind out that third doctorate at Stanford because no one would take his Berlin or Goteborg PhDs seriously enough to hire him for anything higher than store clerk.

So he did. And never made any issue of it. And, come to think of it, got flustered when called "Dr."
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Old 12-23-2018, 12:45 PM
 
Location: Pittsburgh, not Paris. #MAGA.
10,109 posts, read 5,554,544 times
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Quote:
Originally Posted by Foamposite View Post
Are Latinos really doing that well though? What do black people have to gain by opening low revenue businesses that require a ton of effort to keep afloat?
This is exhibit A of what I was talking about (and not trying to sound combative). The push for instant success/good income is what often dooms black business IMO. It often takes years of hard work/low income/etc. before you're going to see real results. You gain work ethic, connections, and resources/know-how to continue building upon success.

Moreover, such businesses, even with low revenue, would be a step up for many in the black community who are struggling now and without.

By the way, many of these businesses in the areas where I am from aren't really low revenue. Moreover, low revenue is going to mean different things in different places; indeed, what would be low for, say, NYC, may help a family get by just fine in another part of the country.
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Old 12-23-2018, 12:51 PM
 
Location: Aurora Denveralis
4,595 posts, read 1,523,972 times
Reputation: 6597
This interesting piece floated by in today's NY Times.

It resonated because I read much the same material in the high-school-level book about consumer issues that set me on that road of interest about mumble decades ago.

Sad how nothing's really changed. The cycle of poverty in depressed neighborhoods is fueled by a lack of economical grocery, staples and shopping options - which is putting it gently; stores in bad neighborhoods are often openly predatory, as the above article notes. Zero progress here in most of a lifespan.
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