In 2020, there were a total 5,775,258 U.S. firms in all sectors. They employed about 129,363,644 workers and had total annual payroll of $7.3 trillion.
Approximately 20% or 1.2 million of these employer businesses were owned by minorities. They employed about 9.9 million employees and had annual payroll of $357.4 billion.
According to the ABS, business ownership among some racial and ethnic groups was concentrated in certain industries.
Last month, the U.S. Department of Commerce launched the Capital Readiness Program grant competition, which dedicates $93.5 million to help minority and other underserved entrepreneurs launch and scale their businesses.
This program, administered by the Minority Business Development Agency, marks the largest program of its kind in the history of the Commerce Department.
Hispanic-owned businesses grew about 8.2%, from 346,836 in 2019 to 375,256 in 2020, and made up about 6.5% of all businesses in the United States in 2020.
In 2020, Hispanic-owned businesses yielded about $472.3 billion in annual receipts and employed about 2.9 million employees.
The highest number of Hispanic-owned firms was in the Construction sector.
Other sectors in which Hispanic-owned businesses outnumbered those owned by other minority groups in 2020: Transportation and Warehousing; Administrative and Support and Waste Management and Remediation Services.
There were 140,918 U.S. Black- or African American-owned businesses — across all sectors of the economy — in 2020 with annual sales of $141.1 billion. They employed 1.3 million people.
The Health Care and Social Assistance sector had the highest number (38,319) of businesses with majority Black or African American ownership, making up 27.5% of all Black-owned businesses.
These businesses employed 468,433 workers and had annual payroll of $12.2 billion.
In 2020, there were 612,194 Asian-owned businesses employing about 5.2 million in the United States, the highest among all minority groups.
A large share of Asian-owned firms — 23.8% — were in the Accommodation and Food Services sector in 2020. The number of Asian-owned businesses in this sector far outnumbered ownership by other minority groups.