Molly Sposato
Writer, Creator, Journalist.
A COLOR CODED SYSTEM UNPACKED: North Carolina’s Black Owned Businesses
The United States, and North Carolina specifically, have been color coded by systematic oppression since the day the country was born. So WHAT does this mean? HOW did we get here? WHY should we care? WHO does it effect? And WHERE can we find those people?
THE WHAT:
WHAT does this mean?
Fighting for equal rights and opportunities is not something new to the minority populations of the United States. Since the founding fathers wrote the nation’s Constitution, it’s minority citizens — particularly Black citizens — have had to tackle an uphill battle of systematic oppression that still exists in the country today.
Today in 2020, 243 years later, the nation is still facing this battle. The COVID-19 crisis has posed challenges hitting many black communities and businesses the hardest. According to The New York Times, over 40% of black businesses reported they weren’t working by April 2020, compared to only 17% of white businesses that said the same. Black businesses also seem to be benefiting the least from the federal stimulus programs.
In addition to COVID-19, continuous news of police brutality against black citizens sparked a rise in the Black Lives Matter movement across the country. It is estimated that between 15 and 25 million people participated in the BLM movement of 2020. The movement has focused on pushing people to uplift black voices and support black businesses.
So, what does this all mean? According to Dr. Jessica Carew, Assistant Professor of Policy Studies at Elon University with a PhD in Political Science, it means it is clear that “ideas and ideologies last.” It means that change has to happen systematically, to happen for good.
PHOTO: 21-year-old Bryan Yang (pictured) holds a BLM sign during a peaceful protest in Winston-Salem, North Carolina on June 3, 2020. (AP Photo / Molly Sposato)
Black Lives Matter Protestors march peacefully through the streets of Greensboro, North Carolina on June 7th, 2020. (AP Video / Molly Sposato)
THE HOW & THE WHY:
THE RACIAL WAGE GAP
WHY do we care?
HOW did we get here?
Supporting Black Owned Businesses in North Carolina actively closes the racial wage gap.
North Carolina’s racial wage gap has not closed in margin in over 30 years.
With this wage gap difference, the average black worker makes five dollars less every hour, $200 less every week and $10,400 less every year. Not only does this make it harder to earn money, but it makes it harder to start and grow a business as a person of color.
According to the National Equity Atlas, the average white worker in 1980 North Carolina made an hourly wage of $17, while the average black worker made an hourly wage of $13.
Over thirty years later, the National Equity Atlas research showed the average white worker in North Carolina made an hourly wage of $19, while the average black worker made an hourly wage of $14. As the white wage went up two dollars, the black wage only went up one. Therefor, the racial wage gap actually widened by a dollar in 30 years.
THE ECONOMY
WHY do we care?
HOW did we get here?
Supporting Black Owned Businesses in North Carolina actively boosts both the local and statewide economy.
According to the National Equity Atlas and Think NC First research, the 2012 North Carolinian economy would have been $63.53 billion larger without the racial wage gap in income.
Further, G1VE, a registered Public Benefit Corporation and nonprofit organization that works to support small businesses, notes that small business incomes on average typically recirculate about 48% of their purchases locally, compared to 14% of what’s circulated in chain stores.
Historically, systematic oppression and a lack of equal opportunity has continued to oppress people of color economically, which in turn affects the greater local and statewide economy.
A study done in 2017 by the National Community Reinvestment Coalition found that banks nation wide were twice as likely to provide business loans to white applicants thank to black applicants. Further, the same study found they were three times as likely to have follow-up meetings with white applicants than they were with more qualified black applicants.
THE JOB OPPORTUNITY
WHY do we care?
HOW did we get here?
Black Business owners typically have a harder time making enough money to pay employees.
The Black Businesses in the US created just 1 million jobs, compared to white businesses 56 million jobs.
According to a study done by the Economic Policy Institute, in North Carolina, African Americans have the second highest unemployment rate at 5.6% (Hispanic being the highest at 6.6%), with the white unemployment rate being at 2.9%.
Supporting Black Owned Businesses in North Carolina actively creates more job opportunities for local communities, especially marginalized populations.
Black owned businesses are more likely to hire locally, meaning supporting these businesses raises job opportunities in local communities.
Supporting Black Owned Businesses creates more job opportunities for people with all education levels and backgrounds.
By 2020, 42% of North Carolina jobs will require at least an Associate’s degree. Currently, only 26% of African Americans hold an Associate’s Degree or higher.
Percentage of NC Residents with an Associate's Degree
THE WHO & THE WHERE:
WHO are the businesses and owners, and WHERE they located?
WHO: THE MUSE NC
WHERE: GRAHAM, NORTH CAROLINA
The Muse N.C is a thrift store located in Graham, North Carolina. It was founded by Dionne Liles in January of 2020. Liles did not grow up in the North Carolina, but has settled here in her adult life. She is currently the only black business owner in Graham’s Court Square. This has been accompanied with a series of challenges for Liles, given the extremely conservative history and current political leadership of the town of Graham. However, that has not stopped her.
Liles talks on how the business began.
“It’s holding me more accountable for my role as a business owner and as a community member,” she said. “It’s teaching me government, and why it’s so important to understand politics.”
Not having grown up in the south, opening her business has opened her perspective to new realities - good and bad. Liles noted that in 2016, she “discounted” the BLM movement because it wasn’t in her direct reality. But opening The Muse NC in Graham, has completely shifted that for her. As a community member, her store is focused on inclusion, diversity and togetherness despite the town environment around her. Liles has even dubbed herself a “co-op” of her space because she considers every member of her team, an owner of the store. To her, this new reality is an opportunity to share her gift with the world, as well as speak out in her community.
“I’m in a very conservative area, but I see the potential and the progress for the future of this community. I am gifted with being the person who gets to change the demographic of Graham.”
AND THERE’S MANY MORE…
There are so many businesses throughout North Carolina you can support. Here are just a few. For a FULL database of more businesses in the state, please refer to the #BlackDollarNC website.
WHO: Rise and Flow Yoga
WHERE: Greensboro, North Carolina
WHO: Substantial Magazine
WHERE: Raleigh, North Carolina
WHO: Green Door Garden
WHERE: Greensboro, North Carolina
WHO: Wellnest
WHERE: Wake Forest, North Carolina
WHO: Red Rose Brunch
WHERE: Greensboro, North Carolina
WHO: TNP Fit
WHERE: Durham, North Carolina