(SCRIPPS) — The nearly 5 million Hispanic-owned businesses in the U.S., contribute more than $800 billion to our economy every year. The good news is, the number of Latino-owned businesses is growing.
Scripps reporter, Alexa Liacko, looks at how celebrating Hispanic Heritage Month is helping that growth.
BUSINESS BOOM
The number of Latino-owned businesses in the United States has exploded by 35 percent over the last ten years. We took a look at what all of this community support means to the families working hard to run these businesses every day.
"Little village — La Villita, as we like to call it — is the Midwest's largest Mexican neighborhood. This is 100% the corridor, the gateway, to the Midwest for Latinos... My family actually has been in this neighborhood for over 50 years," says business owner, Mike Moreno.
He's a third generation business owner. His grandfather opened multiple grocery stores across Chicago. His father opened Moreno's Liquor store.
"I asked him, I said, you know, why don't you stay in the grocery business? And he said, Simple. He said, Liquor doesn't spoil... So he opened his first liquor store in 1977... It was actually the first Mexican, or I should say, first Latino liquor store in the entire state," says Mike.
Mike is now carrying on his family's tradition of entrepreneurship. He opened Osito's Tap, a speakeasy cocktail bar and restaurant, right next to his dad's store.
"The whole premise of the bar itself was supposed to showcase that mix of that old world Chicago vibe with that modern Latin flair," says Mike.
His success is just part of the growing number of Latino-owned businesses in the United States. Nearly one in four new businesses opening now is a Latino-owned business.
Mike says these spaces offer the entire community a place to share tradition.
"I was always very proud of, of where I came from and where my father had had been born and immigrated from. And when you're supporting these businesses and you're coming in, you know, you're able to take a piece of that home," says Mike.
NEED SUPPORT
And he hopes this month, celebrating Hispanic heritage and culture only brings more people in. But he says, the support can't stop there.
"Hispanic Heritage Month is it's amazing to kind of showcase and be kind of represented. But at the same time, I'm a huge proponent for communitarianism, a huge proponent for shopping local and supporting local, because the small businesses is what keeps this community thriving," says Mike.
Year-round support is crucial from the community because these businesses do face more barriers to open.
The Stanford 2021 State of Latino Entrepreneurship Report found: Latinos are more likely to be required to provide collateral to secure funding even when they have credit similar to white applicants.
During the pandemic, Latino-owned businesses reported more challenges than white owned businesses in accessing the PPP loan program.
But, when a Latino business does overcome these barriers, it brings success to the family behind it, upward mobility for employees and a richness to the community.
"When you think about it, the entire United States is built up from minorities. So when you're going and you're supporting these businesses, you're supporting other people that are pushing and thriving for that American dream," says Mike.
