Black Small-Business Owners Pursue Their Dreams Javascript must be enabled to use this site. Please enable Javascript in your browser and try again. × Search search POPULAR SEARCHES SUGGESTED LINKS Join AARP for just $9 per year when you sign up for a 5-year term. Get instant access to members-only products and hundreds of discounts, a free second membership, and a subscription to AARP the Magazine. Leaving AARP.org Website You are now leaving AARP.org and going to a website that is not operated by AARP. A different privacy policy and terms of service will apply.

Black Entrepreneurs Turn Passion Into Profits

Survey finds African Americans start small businesses to pursue dreams but may be more likely to face financial challenges

Getty Images Get instant access to members-only products and hundreds of discounts, a free second membership, and a subscription to AARP the Magazine. Having grown up in a household where her father owned his own bricklaying company, Johnson, 49, knew how to spot an opportunity when she saw one. So, in 2005 she opened the first of two wine shops called Grapes & Barley, which now have morphed into , an online subscription service that delivers wines Johnson handpicks to members's doorsteps. Johnson says gave her the chance to shape her own financial future and, more importantly, the opportunity to turn her dreams into reality. “You know, you’re seeing so much transition in the workforce,” says Johnson. “I think now is a perfect time to figure out what your passions are and turn those passions into livings. And we can do it.” For African Americans who own small businesses, passion is a big part of what drives them to start their own companies. According to a of more than 2,600 people who either owned a small business or were hoping to start one, 62 percent of African American respondents said the reason they went into business was to pursue a passion. That response was 11 percentage points higher than the number for all respondents. The survey was conducted by Guidant Financial. AARP Membership — $12 for your first year when you sign up for Automatic Renewal Get instant access to members-only products and hundreds of discounts, a free second membership, and a subscription to AARP the Magazine. Entertainment $3 off popcorn and soft drink combos See more Entertainment offers > The survey also suggested, however, that black business owners may face particular challenges with regard to raising money. For example, 80 percent of black respondents said their biggest challenge was lack of capital or cash flow, which was 10 percent higher than all respondents. And, 46 percent of black small-business owners were their only employee, while another 41 percent had 2-5 employees. For many small businesses, a large staff isn’t necessary. Jennene Biggins, 52, runs her own consulting firm that specializes in digital marketing for other small businesses. She started in 2001 after owning another small business for years: a boutique that sold women’s plus-size clothing, both online and from a small shop she operated in the basement of her home. When the 2009 recession led to a crash in her apparel sales, Biggins realized that she could turn the expertise she developed in online marketing into her current business. “Many people with my plus-size businesses were wondering, you know, how did I do it, what was I doing online,” she says. “So that’s kind of how I fell into consulting, you know? Maybe I need to start something to help others.” That kind of help and support can be crucial for small-business owners, especially among women and minority communities. AARP Membership — $12 for your first year when you sign up for Automatic Renewal Get instant access to members-only products and hundreds of discounts, a free second membership, and a subscription to AARP the Magazine. in Chesapeake, Virginia. “Sometimes we feel like we’re having to just start all over, do it by ourselves. It’s harder, it seems like, than it should be. It’s a matter of tapping into the resources that are there locally where you are.” Grandison recommends that aspiring entrepreneurs take advantage of their local , which are funded in part by the federal Small Business Administration. Biggins recommended , which is a nonprofit association that helps small-business owners by providing mentoring and other resources. More on work AARP Membership — $12 for your first year when you sign up for Automatic Renewal Get instant access to members-only products and hundreds of discounts, a free second membership, and a subscription to AARP the Magazine. AARP VALUE & MEMBER BENEFITS See more Health & Wellness offers > See more Flights & Vacation Packages offers > See more Finances offers > See more Health & Wellness offers > SAVE MONEY WITH THESE LIMITED-TIME OFFERS