Texas ranks No. 8 on new list of best states for Black entrepreneurs
Black businesses continue to see success all over Texas. So says a new report that ranks the state among America's top 10 for Black entrepreneurs.
In Merchant Maverick’s latest annual report on the best states for Black businesses, Texas lands in the No. 8 spot. While the state maintains a position in the top 10, it has dropped from its No. 3 ranking last year.
The report factored a number of metrics, including Black-owned businesses per million residents; percentage of the state’s workforce employed by Black-owned businesses; average annual payroll of Black-owned businesses; average annual income of Black business owners; and more.
The report also noted that Texas is:
- No. 9 for highest average annual income.
- Home to 360 Black-owned businesses per capita.
- No. 15 highest in the nation for percentage of the workforce working for Black businesses.
Texas continues to be known as an entrepreneur-friendly state.
The largest Black tech conference in the country, the 2023 AfroTech Conference, recently returned to Austin for the second straight year. The five-day conference united over 300 companies – including Amazon, Meta, and Google – to expand the representation of Black Americans in STEM fields.
In 2022, a ranking by Black employees at Apartment List put Houston at No. 4 among the best cities for Black professionals. The Apartment List employees judged 82 cities in four categories.
Growth also was reflected post-pandemic for Black-owned startups in Houston, according to study by economists at Rice University, Boston University, Columbia University, and the Massachusetts Institute of Technology (MIT). The study found that from 2019 to 2020, the startup rate rose 32 percent in four largely Black areas of Houston.
The statewide startup rate during that period was 10 just at percent.
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