Hispanics reveal what drives them to be the best business owners they can be
It's clear that one of the leading factors that drives Hispanics and Latinos to start a business of their own is so that they can send money to their loved ones who may live in Mexico or some other part of Latin America. There are a variety of other reasons why Hispanics set out to start their own businesses, though.
Recently, life insurance company MassMutual released the results of its report, "Business Owner Perspectives: 2011 Insights in an Uncertain Economy." While it's contents focused on entrepreneurs in general, it made a point of detailing the factors that motivate Hispanics to start their own business ventures.
One of the leading aspects that compelled many Hispanics to start companies of their own was due to a fervent desire to give back to their community. More than half of the business owners who took part in the survey – 54 percent – noted that they felt a sense of duty to give back to their locality by providing for its residents through goods or services. They also hoped that their operations would contribute to the community's economic strength as well. This contrasts sharply with the general public population, as approximately one in every five said giving back to the community was what drove them to begin their business.
Additionally, extended family members served as sufficient motivations for Hispanic business owners. The report found that roughly one-third of all business owners of Latino descent began their company because they wanted to help their extended family members out by giving them a job. About 19 percent of the general business owner population cited this as their reasoning.
Overwhelmingly, though, immediate family members served as the top inspiration for beginning a business. Close to nine in every 10 said providing for their loved ones was the most influential factor, a feeling shared by 77 percent of business owners overall.
March 29 is National Mom-and-Pop Business Owner's Day
Small business owners – no matter what their origin – serve as the lifeblood of the American economy. So much so, that there's a day devoted to celebrating what they do for the country's financial system and job market.
March 29 is National Mom-and-Pop Business Owner's Day. The annual occasion is often recognized by consumers by purchasing some of their everyday needs at local small business operations rather than at big box stores or supermarkets.
According to the U.S. Small Business Administration, there are approximately 27 million small businesses in the country. These operations account for roughly 60 percent of all new jobs that are added to the economy on an annual basis.
To a certain extent, local convenience stores and markets aren't quite as commonplace as they once were. That said, they still represent a considerable share of the businesses that are in operation today. SBA notes that the number of small businesses in the U.S. has jumped nearly 50 percent since 1982. In addition, while big businesses have made workforce cutbacks – as many as 4 million since 1990 – small businesses have created 8 million jobs over the past 23 years.
Many of these jobs wouldn't have been possible without Hispanic entrepreneurs.
However, that's not to suggest that today's business owners don't have struggles. The MassMutual study found that roughly 30 percent of Hispanic business owners have trouble with keeping up with everyday operational expenses, roughly one in four have financial concerns about retirement and 18 percent say they don't know where to go for financial assistance. Approximately 12 percent of business owners in general expressed the same unawareness.
Small business owners who are having trouble financially may want to talk about it with their local chamber of commerce, which serves the business community.