In 2020, 4.3 million new businesses opened in the United States, which was a 24.6% increase from the previous year in the number of new businesses started.

However, minority-owned businesses were more likely to report that they experienced financial challenges in the second half of 2019 through the second half of 2020, and they may have trouble getting approved for bank loans.

Data from the U.S. Census Bureau revealed nearly 70% of minority-owned businesses that applied for business financing in 2020 needed the money to cover the expenses required to run the business, compared to 53% of nonminority businesses that applied for business financing in 2020.