Melting Pot

Dallas-Fort Worth leads the nation with most minority-owned startups

Dallas-Fort Worth leads the nation with most minority-owned startups

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Dallas leads the way with minority-owned startups. Photo courtesy of Dallas CVB

Dallas is known for its diversity, and that extends to the businesses sector, too. Using data from the U.S. Census Bureau's Annual Survey of Entrepreneurs, Volusion published a report naming the 15 cities with the most minority-owned startups, and the Dallas-Fort Worth-Arlington market ranks No. 12 in the U.S.

In the Metroplex, 35.5 percent of startups are minority owned, a total of 4,357 businesses. While this percentage is enough to secure placement on the list, the area's actual minority population is 52.4 percent, so there's still room to close the gap.

According to Volusion's study, 23,992 people work in DFW's minority-owned startups, and the gross sales of these companies is in the $1 billion to less-than-$5 billion range. The top industry for these startups is accommodation and food services.

"The Dallas-Fort Worth (DFW) region is home to several industries, including manufacturing, food, technology, healthcare, aviation, and aerospace," reads the report. "Minority-owned businesses are particularly well-represented in accommodation and food services."

"Minority entrepreneurs in the DFW area can make use of business development resources offered by organizations such as the Regional Hispanic Contractors Association and the Fort Worth Metropolitan Black Chamber of Commerce," it continues.

Two other Texas metros land on the list. Right behind DFW is Houston-The Woodlands-Sugar Land at No. 13. In Houston, 34.5 percent of startups are minority owned. That's a total of 3,697 businesses employing 15,673 workers. San Antonio-New Braunfels ranks No. 6, with 45 percent minority-owned startups (1,542 businesses and 4,160 employees).

All of the Texas markets featured in the study boast a higher percentage of minority-owned startups than the national average, which is only 27.4 percent. According to the U.S. Census Bureau, almost 40 percent of the country's population identifies as nonwhite, and some estimates predict the U.S. will be considered a "majority-minority" country by 2044.

The top three markets are all in California: No. 1, San Jose-Sunnyvale-Santa Clara; No. 2, Riverside-San Bernardino-Ontario; and No. 3, Los Angeles-Long Beach-Anaheim. In each, about half of the area's startups are minority owned.


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