SUMMARY: This report provides timely updates on trends in U.S Latino entrepreneurship, finding that Latinos continue to outpace others in new business formation.

TALKING POINTS:

• Over the past 10 years, the number of Latino business owners grew 34%, compared to 1% for all business owners in the United States.
• Over the last year, Latino-owned businesses reported an average revenue growth of 14%, outpacing the growth of the U.S. economy.
• Overall, 54% of Latino-owned businesses had positive annual revenue growth and 63% had positive compound annual revenue growth over the past five years.
• Latino business owners are faring better than the general Latino population on a number of personal financial well-being components.

DATE OF PUBLICATION: January 2020

AUTHORS: Marlene Orozco (Lead Research Analyst for SLEI), Inara Sunan Tareque (Research Analyst, Stanford Latino Entrepreneurship Initiative), Paul Oyer (Fred H. Merril Professor of Economics at the Stanford Graduate School of Business; and SLEI Faculty Advisor), and Jerry I. Porras (Lane Professor of Organizational Behavior & Change Emeritus at Stanford Graduate School of Business; SLEI Faculty Advisor; and Latino Business Action Network Cofounder)

ABOUT THE RESEARCHER: Stanford Latino Entrepreneurship Initiative (SLEI) is a research and education collaboration between Stanford University and the Latino Business Action Network (LBAN), a 501(c)(3) not-for-profit organization located in Palo Alto, CA. SLEI is housed at the Stanford Graduate School of Business.