LOS ANGELES – Hispanic small business owners are more optimistic and confident about their companies’ development and the economic situation in the United States than their non-Hispanic counterparts, Bank of America said in a report released in Los Angeles.
Among the key results of the “2018 Hispanic Small Business Owner Spotlight,” presented Tuesday, 71 percent of Hispanic entrepreneurs surveyed expected their revenues to increase in 2018, compared with just 50 percent in the case of non-Hispanic respondents.
In addition, 37 percent of Hispanic business owners said they planned to hire more employees this year, while only 16 percent of non-Hispanic entrepreneurs expected to expand their staff.
The survey showed that 60 percent of Hispanics were optimistic that the national economy would improve in 2018, while only 46 percent of non-Hispanics gave that same positive assessment.
Hispanic small business owners also were more confident about local economies this year than non-Hispanics, with 67 percent of the former – but just 48 percent of the latter – confident they would improve.
Asked about their long-term expectations, 89 percent of Hispanics taking part in the survey said they believed the business environment would strengthen for Hispanic business owners over the next decade.
A strong majority – 77 percent – of Hispanic small business owners said they expected to grow their businesses over the next five years, compared to only 50 percent in the case of non-Hispanic entrepreneurs.
The BofA survey found that Hispanics’ greater optimism was based on two key factors: perceptions surrounding the benefits of their cultural heritage and their greater use of digital tools relative to their non-Hispanic peers.
Among Hispanic respondents, 43 percent said their cultural heritage had helped them grow their small businesses, 41 percent said it had had no impact and just 16 percent said it had had a negative impact on growth.
In terms of technology, 93 percent of Hispanic entrepreneurs said they used digital tools such as financial tracking and business management applications, while just 73 percent of non-Hispanic business owners said they had adopted those tools.
Bank of America presented its findings Tuesday at an event in East Los Angeles, a predominantly Hispanic area of Los Angeles County.
Elizabeth Romero, a Small Business Central Division executive at Bank of America, said at the event that Hispanics were very optimistic and confident about the business environment.
She encouraged Hispanic entrepreneurs to believe in themselves, to not be afraid to make errors, to learn from their mistakes and to think of ways to help the community through their businesses.
For his part, the executive director of the Los Angeles Latino Chamber of Commerce, Moises Cisneros, said two common denominators and differentiating factors among Hispanics were their resilience and hard work.
He also stressed that when facing challenges in their field of endeavor Hispanics tend to have a positive attitude and see the glass as half full.