CFED Assets & Opportunity Scorecard
Ratio of the business ownership rate of white, non-Hispanic workers to workers of color, 2012.
Business ownership is a fundamental engine for wealth creation, but business ownership is more prevalent among white workers than among workers of color nationally and in almost all states. This measure describes the disparity in business ownership between white workers and workers of color. For example, in Iowa, white workers own businesses at a rate more than two times higher than workers of color.
To see the data disaggregated by race and ethnicity, click on the Data by Race tab below.
Business Ownership by Race, 2012
| State | Percent of White Labor Force Owning Firms (%) | Percent of People of Color in Labor Force Owning Firms (%) | Ratio | Rank |
|---|---|---|---|---|
| United States | 19.1% | 15.7% | 1.22 | |
| Alabama | 18.6% | 13.9% | 1.33 | 19 |
| Alaska | 20.8% | 13.9% | 1.49 | 26 |
| Arizona | 18.6% | 11.7% | 1.60 | 35 |
| Arkansas | 17.9% | 13.3% | 1.34 | 20 |
| California | 24.0% | 15.7% | 1.52 | 28 |
| Colorado | 22.7% | 14.2% | 1.61 | 36 |
| Connecticut | 19.0% | 12.4% | 1.54 | 31 |
| Delaware | 18.7% | 9.7% | 1.94 | 46 |
| District of Columbia | 19.5% | 15.6% | 1.25 | 13 |
| Florida | 20.9% | 25.1% | 1.20 | 7 |
| Georgia | 19.2% | 20.0% | 1.04 | 2 |
| Hawaii | 30.9% | 15.0% | 2.06 | 49 |
| Idaho | 20.4% | 9.3% | 2.18 | 50 |
| Illinois | 18.7% | 14.8% | 1.26 | 14 |
| Indiana | 16.2% | 13.5% | 1.20 | 6 |
| Iowa | 16.3% | 8.1% | 2.01 | 47 |
| Kansas | 18.1% | 10.5% | 1.73 | 40 |
| Kentucky | 16.5% | 9.1% | 1.81 | 44 |
| Louisiana | 21.0% | 17.3% | 1.22 | 11 |
| Maine | 19.6% | 15.5% | 1.27 | 15 |
| Maryland | 18.3% | 14.7% | 1.25 | 12 |
| Massachusetts | 18.9% | 12.6% | 1.50 | 27 |
| Michigan | 17.9% | 18.2% | 1.02 | 1 |
| Minnesota | 17.4% | 12.0% | 1.45 | 25 |
| Mississippi | 18.9% | 15.6% | 1.21 | 10 |
| Missouri | 17.2% | 12.7% | 1.36 | 22 |
| Montana | 23.1% | 17.4% | 1.33 | 18 |
| Nebraska | 17.6% | 8.6% | 2.06 | 48 |
| Nevada | 21.4% | 12.3% | 1.74 | 42 |
| New Hampshire | 17.8% | 13.7% | 1.30 | 17 |
| New Jersey | 20.4% | 13.4% | 1.53 | 29 |
| New Mexico | 21.9% | 13.0% | 1.69 | 38 |
| New York | 22.3% | 19.3% | 1.15 | 5 |
| North Carolina | 20.5% | 12.0% | 1.70 | 39 |
| North Dakota | 18.5% | 7.6% | 2.44 | 51 |
| Ohio | 16.0% | 13.2% | 1.21 | 9 |
| Oklahoma | 19.8% | 12.6% | 1.57 | 33 |
| Oregon | 18.5% | 12.8% | 1.45 | 24 |
| Pennsylvania | 15.3% | 12.1% | 1.27 | 16 |
| Rhode Island | 18.2% | 13.4% | 1.36 | 23 |
| South Carolina | 19.6% | 11.9% | 1.65 | 37 |
| South Dakota | 19.4% | 10.3% | 1.88 | 45 |
| Tennessee | 18.8% | 15.6% | 1.21 | 8 |
| Texas | 21.7% | 16.1% | 1.35 | 21 |
| Utah | 19.8% | 11.2% | 1.77 | 43 |
| Vermont | 21.5% | 14.1% | 1.53 | 30 |
| Virginia | 16.4% | 14.6% | 1.12 | 4 |
| Washington | 17.2% | 10.9% | 1.58 | 34 |
| West Virginia | 13.8% | 12.4% | 1.11 | 3 |
| Wisconsin | 14.7% | 9.5% | 1.55 | 32 |
| Wyoming | 21.1% | 12.2% | 1.74 | 41 |
Business Ownership Rate, by Race and Ethnicity 1
| Business Ownership by Race (%) | |||||||
|---|---|---|---|---|---|---|---|
| State | White | Workers of Color | Black | Asian | Native American | Hispanic | |
| United States | 19.1% | 15.7% | 14.4% | 24.3% | 25.2% | 13.8% | |
| Alabama | 18.6% | 13.9% | 13.2% | 58.3% | 21.0% | 9.4% | |
| Alaska | 20.8% | 13.9% | 13.2% | 13.0% | 27.3% | 10.0% | |
| Arizona | 18.6% | 11.7% | 11.1% | 25.3% | 25.8% | 9.4% | |
| Arkansas | 17.9% | 13.3% | 11.5% | 16.9% | 41.3% | 13.7% | |
| California | 24.0% | 15.7% | 18.3% | 24.9% | 29.5% | 11.9% | |
| Colorado | 22.7% | 14.2% | 11.9% | 27.9% | 35.9% | 11.5% | |
| Connecticut | 19.0% | 12.4% | 10.9% | 13.1% | 66.9% | 11.9% | |
| Delaware | 18.7% | 9.7% | 8.6% | 20.6% | — | 6.4% | |
| District of Columbia | 19.5% | 15.6% | 16.1% | 26.6% | 33.7% | 10.2% | |
| Florida | 20.9% | 25.1% | 17.9% | 35.2% | 30.4% | 28.1% | |
| Georgia | 19.2% | 20.0% | 19.3% | 30.9% | — | 16.4% | |
| Hawaii | 30.9% | 15.0% | 16.1% | 22.9% | — | 9.0% | |
| Idaho | 20.4% | 9.3% | 7.8% | 18.8% | 19.9% | 6.3% | |
| Illinois | 18.7% | 14.8% | 17.6% | 21.6% | 59.4% | 10.1% | |
| Indiana | 16.2% | 13.5% | 13.9% | 29.2% | — | 9.0% | |
| Iowa | 16.3% | 8.1% | 10.9% | 12.2% | 18.4% | 5.4% | |
| Kansas | 18.1% | 10.5% | 9.6% | 15.8% | 29.0% | 9.3% | |
| Kentucky | 16.5% | 9.1% | 8.3% | 18.0% | 74.1% | 7.1% | |
| Louisiana | 21.0% | 17.3% | 15.7% | 46.3% | 40.9% | 14.7% | |
| Maine | 19.6% | 15.5% | 11.1% | 32.2% | 46.5% | 23.2% | |
| Maryland | 18.3% | 14.7% | 14.1% | 19.0% | — | 13.4% | |
| Massachusetts | 18.9% | 12.6% | 10.1% | 17.4% | — | 9.8% | |
| Michigan | 17.9% | 18.2% | 20.1% | 19.7% | — | 12.5% | |
| Minnesota | 17.4% | 12.0% | 16.2% | 11.6% | 29.5% | 7.8% | |
| Mississippi | 18.9% | 15.6% | 15.2% | 38.8% | 28.6% | 13.9% | |
| Missouri | 17.2% | 12.7% | 12.0% | 20.1% | 21.4% | 15.0% | |
| Montana | 23.1% | 17.4% | 11.6% | 23.7% | 15.1% | 16.7% | |
| Nebraska | 17.6% | 8.6% | 12.8% | 13.3% | 6.8% | 5.9% | |
| Nevada | 21.4% | 12.3% | 13.3% | 17.3% | 16.3% | 10.8% | |
| New Hampshire | 17.8% | 13.7% | 8.1% | 19.7% | 63.8% | 13.7% | |
| New Jersey | 20.4% | 13.4% | 10.5% | 22.4% | — | 10.8% | |
| New Mexico | 21.9% | 13.0% | 18.0% | 15.4% | 13.1% | 12.0% | |
| New York | 22.3% | 19.3% | 15.4% | 30.7% | 26.2% | 16.3% | |
| North Carolina | 20.5% | 12.0% | 11.1% | 24.9% | 12.2% | 10.9% | |
| North Dakota | 18.5% | 7.6% | 9.7% | 16.9% | 5.9% | 8.2% | |
| Ohio | 16.0% | 13.2% | 12.5% | 25.8% | 35.1% | 9.7% | |
| Oklahoma | 19.8% | 12.6% | 11.3% | 32.1% | 24.7% | 12.7% | |
| Oregon | 18.5% | 12.8% | 28.6% | 20.0% | 30.1% | 8.2% | |
| Pennsylvania | 15.3% | 12.1% | 8.8% | 33.4% | 32.3% | 11.2% | |
| Rhode Island | 18.2% | 13.4% | 7.3% | 22.6% | 50.1% | 13.9% | |
| South Carolina | 19.6% | 11.9% | 10.5% | 55.5% | — | 11.1% | |
| South Dakota | 19.4% | 10.3% | 10.0% | 39.5% | 8.6% | 7.0% | |
| Tennessee | 18.8% | 15.6% | 15.5% | 24.9% | — | 11.0% | |
| Texas | 21.7% | 16.1% | 14.4% | 23.6% | 51.0% | 15.1% | |
| Utah | 19.8% | 11.2% | 14.1% | 17.7% | 7.9% | 9.2% | |
| Vermont | 21.5% | 14.1% | 9.3% | 17.3% | 41.1% | 22.9% | |
| Virginia | 16.4% | 14.6% | 11.2% | 25.1% | 25.8% | 15.5% | |
| Washington | 17.2% | 10.9% | 12.9% | 17.6% | 15.4% | 6.9% | |
| West Virginia | 13.8% | 12.4% | 8.6% | 24.9% | 30.3% | 15.8% | |
| Wisconsin | 14.7% | 9.5% | 12.2% | 20.1% | 6.3% | 5.4% | |
| Wyoming | 21.1% | 12.2% | 17.1% | 34.8% | 8.2% | 9.2% | |
"—" indicates that no data is available.
Estimates for White workers are generated for the White, non-Hispanic population. Likewise, estimates for Hispanic workers include all workers of Hispanic or Latino origin, regardless of race.
Definition
Ratio of the business ownership rate of white, non-Hispanic workers to workers of color (Black or African-American; American Indian and Native Alaskan; Asian; Native Hawaiian and other Pacific Islander; Hispanic or Latino), 2012. The business ownership rate is defined as the number of businesses in which white workers or workers of color own 50% or more of the equity, interest or stock of the business as a percentage of white workers or workers of color in the labor force.
Calculated by dividing the higher value by the lower value (i.e., the business ownership rate of white workers divided by workers of color, except in Florida, Georgia and Michigan, where workers of color have a higher rate of business ownership).
A ratio of 1 indicates perfect equality; the higher the ratio, the greater the inequality.
Source
Survey of Business Owners. Washington, DC: U.S. Department of Commerce, Census Bureau, 2015.
Labor Force: Current Population Survey, Washington, DC: U.S. Department of Commerce, Census Bureau, 2012. Data calculated by CFED using the CPS Table Creator.
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