How do African American women fare within the entrepreneurial universe? Quite frankly, that’s the million-dollar question–asked and answered by small business expert Kathey Porter and business growth expert Andrea Hoffman, authors of 50 Billion Dollar Boss: African American Women Sharing Stories of Success in Entrepreneurship and Leadership.
But this is not merely some academic exercise for Porter and Hoffman as they both live and breathe this stuff. In fact, both have dedicated their careers to mastering the nuts and bolts of their craft ad nauseam. With an impressive wheelhouse of expertise that includes small business development, Fortune 500 consulting, supplier diversity and entrepreneurship, it’s no wonder they are looking to change the way that African American women show up in the world of business.
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Porter knows the lay of the entrepreneurial land quite well. She has owned several businesses and is currently the Director of Small Business and Vendor Diversity Relations with the University of Florida. Her experience as an adjunct instructor spans over ten years and includes stints at Virginia Tech – Pamplin College of Business, Savannah State University, Savannah College of Art & Design (SCAD), Strayer University, Columbia College and University of Phoenix. Kathey received her MBA from Georgia Southern University, BBA from Savannah State University and a CPSD (Certified Professional in Supplier Diversity) through the Institute for Supply Management. She developed a strong acumen for branding and marketing while working as a marketing executive for Fortune 500 companies including Carson Products, Revlon Professional and Colomer USA.
Hoffman is a top-tier strategist, dealmaker and business development veteran with over 28 years of experience. She advises bold thinking executives and Fortune 500 companies on business growth through assessimg, creating and executing new markets, diversity and innovative strategies. Given her world class rolodex, she’s also paved the way for countless deals and growth opportunities for and with the “diverse elite”; a $840 billion market. She is also the co-author of Black is the New Green, considered by many to be the guidebook on successfully accessing and engaging high net worth African American consumers.
With the book’s release in November and a national book tour that begins in 2016, Kathey and Andrea are poised to educate and inspire their target audience with tremendous impact, while shining a light on their current economic power.
BlackEnterprise.com caught up with these two author-extraordinaires to discuss African American women entrepreneurs, challenges to creating and maintaining business viability and how their new book helps to focus women on scaling success.
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BlackEnterprise.com: Your book profiles 12 successful African American women entrepreneurs and leaders with businesses in a variety of industries. It’s highly anticipated as the inspirational genius that will propel African American women entrepreneurs forward in in 2016 and beyond. What inspired you to write this book and what’s your response to the buzz?
Porter and Hoffman: As African American women entrepreneurs are the fastest growing demographic amongst all women entrepreneurs, we wanted to recognize them for their business acumen and history “grit.” The women featured have built exciting businesses, ranging from fashion to construction to cosmetics and everything in between. In the process, we wanted to share their stories and how they overcame business challenges, and in some cases, surpass the million dollar mark and achieve long term success. The response has been tremendous and incredibly positive. We are excited that women, whether looking to start a business or grow an existing business and stick to their guns when times get tough, consider our book an inspirational and valuable resource in which to do that.
Can you explain why women, specifically African American women, are choosing the entrepreneurial route more than ever?
There are many reasons that drive someone to start a business. However, for women, and more specifically for African American women, many surveys suggest financial gain is merely a component, but not the most compelling factor. Some of the top reasons include:
– Opportunity to be their own boss
– Greater control of their own destinies
– Desire to pursue their passions
– Financial gain
– Desire for work/life balance
– Flexibility to spend more time with family and children
Why is it that African American women are starting businesses in record numbers, yet struggle to scale their businesses beyond the $1 million dollar point?
Looking at their phenomenal growth, there is no doubt about their motivation. Yet, they remain challenged by the lack of resources available to them and perhaps even other examples that they can aspire to, relate to or be inspired by. Further, they are often challenged with asking for funding or assistance and they do not always have access to the appropriate circles where a lot of these transactions occur.
What should women think about when trying to transition an idea into an actual business?
This may vary for everyone, but a few things to think about are:
– Let inspiration find you
– Find your mission
– Have patience and perseverance and
– Trust your instincts
How can one turn their passion or hobby into a viable business?
Everyone wants to be an overnight success, but those are few and far between. “Slow and steady†is a much more realistic strategy. Remember, most Fortune 500 companies started out as a small business. To brand your passion and understand your unique value proposition, you should:
– Understand there are riches in the niches. Big companies focus on the biggest bang for the buck. There is a growing market for products and services that are personalized and delivered intimately
– Seek out defining moments that make sense for the brand and your target audience
– Become the “champion†for your brand
– Effectively and succintly communicate how you’re different and why you do it better than anyone else
– Put in the work, even when quitting seems reasonable
There’s been a lot of talk about the importance of a mentor. How can women attract the right mentors to help their business?
As we have seen and heard among other demographics, having a mentor is really indispensable. Unfortunately and historically for African American women, there’s been a dearth of women entrepreneurs that one could closely align with and develop that type of relationship. Fortunately, that’s changing. For women trying to find mentors, they should:
– Think outside the “ideal†mentor box
– Have several mentors
– Realize every relationship has potential and
– Create a reputation worthy of mentorship
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How important are strategic partnerships for a small business?
Strategic partnerships should add value and be mutually beneficial. Just because you are a small business, don’t think that you’re unable to add value to a large organization. In order to seek and forge strategic partnerships, you should:
– Choose partnerships that create value
– Study the industry . . . yours and your potential partner’s
– Leverage partnerships to expand your reach and lower costs and
– Use your network. See who is looking for expertise and position yourself to provide that service
There seems to be more networking events for women in business, yet, people still struggle with this. How can they leverage this knowledge?
Managing and cultivating relationships can be challenging. To create a network to help grow your net worth, you should:
– Strive to build relationships that are more than just transactional
– Stay engaged and in touch with your network
– Understand that every kick can be a boost
– Be consistent and deliberate when using social media
– Be more interested than interesting
– Pay attention to industry trends, and know what is now but focus on what is next
– Be clear about exactly how wealth creation works and where the money is
Funding is a challenge for everyone. How can women find the best funding solutions for their businesses?
I get asked this all the time. There is no doubt that finances are essential to start and grow a business. However, even still, I don’t think there is a one-size-fits-all strategy that works for every business. There are many ways that someone can get enough funding to finance their dream venture:
– Create a plan outlining your long-term goals and objectives to determine the right financing option
– Focus on maximizing sales rather than incurring debt
– Consider alternative funding options and
– Consider collaboration or partnership to achieve goals (a percentage of something is better than 100% of nothing) and
– Do not be afraid or intimidated to attract and pursue big investors. Sometimes a small business specializing in specific area is just what they are looking for
What should established women-owned businesses think about when they are looking to scale and grow their businesses?
First, understand that growing a business is a process and will not happen overnight. If they have maximized growth at their present state and are ready to take their business to the next phase, they should:
– Ask for help (sounds simple, but no one likes to feel needy)
– Step out of their comfort zone (probably one of the hardest things to do)
– Take advantage of unexpected events and leverage that 3-min pitch
– Seek and leverage media exposure; social media puts this in your hands and
– Remember, all opportunities are not good opportunities for you
Where should one look if they are thinking about starting a business, but not quite sure what they want to do?
Think about non-traditional and “out of the norm†opportunities for women such as construction or construction related trades. Also, consider growth industries such as technology or even opportunities for corporate intrapreneurship if you are not quite ready to make the leap into owning a business full-time. Not all industries are “sexy†but a business that is making money is very sexy!
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There are many agencies that specifically support the growth and sustainability of minority and women-owned businesses. How can women leverage being a woman-owned business?
No matter the industry or category of business you are looking to start, the decision to take the plunge can be tough, yet exhilarating. However, in today’s economic climate, there is no reason to go at it alone or start from scratch. There is an array of government agencies, private entities, and nonprofit organizations trying to bridge social and financial gaps with help directed specifically at minority women entrepreneurs. Finding the right resources takes diligence and creativity–qualities that successful business owners tend to have. The services offered are varied, and are more than sufficient to help get you on your entrepreneurial way or accelerate the growth of your business. They include:
– Small Business Administration
– Service Corp of Retired Executives
– Small Business Development Centers
– National Women’s Business Council
– Minority Business Development Agency
– Women’s Business Centers
– Certifying agencies — NMSDC, WBENC, etc.
– Supplier Diversity/MWBE (Minority/Women-Owned Business Enterprise) Programs–corporate, higher education, and so forth
Why is it important to support other women entrepreneurs?
The success of women entrepreneurs is one of the greatest ways to increase the investment in and the success of other women in business. As with any other community, you tend to understand and are more empathetic towards the challenges other women in business face, since they mirror your own. You can also share great resources and reciprocal support. After all, sharing and caring are in our DNA.
How can people connect with you ladies and find your book?
Website/Blog: www.50bdb.com
Facebook: https://www.facebook.com/50bdb
Twitter: @50_bdb
LinkedIn: https://www.linkedin.com/in/katheyporter
LinkedIn: https://www.linkedin.com/in/marketingcommunicationsexpert
Instagram: https://instagram.com/50billiondollarboss/
Amazon Author Pages: http://www.amazon.com/-/e/B00Z1CYBBG
Karima Mariama-Arthur, Esq. is the founder and CEO of WordSmithRapport, an international consulting firm specializing in professional development. Follow her on Twitter: @WSRapport or visit her website, WordSmithRapport.com.