Blog Post

The State Of Latino Business: A Conversation With Ramiro Cavazos, President And CEO Of The U.S. Hispanic Chamber Of Commerce

Rhett Buttle • July 27, 2020

Bright & Early Productions

If small businesses are the engine of the U.S. economy, Hispanic-owned businesses are the fuel that keeps the engine humming. Unfortunately, like too many small businesses nationwide, Hispanic small businesses now face a dire threat from the COVID-19 pandemic. In May, a survey of Black and Hispanic small business owners by Colors of Change and UnidosUS found that 47% of Hispanic owners predicted they’d be out of business in less than six months. Twenty-six percent have already had to lay off some full-time employees. And many can’t count on federal relief through the CARES Act and Paycheck Protection Program. 

As America’s largest Hispanic business organization, the U.S. Hispanic Chamber of Commerce (USHCC) is at the forefront of addressing these challenges. USHCC serves as a platform for more than 250 local Hispanic chambers of commerce, representing 4.7 million businesses. In the present economic crisis, USHCC has created bilingual resources and provided hands-on support for businesses owners, including launching several grant programs to supplement government-funded programs and private sector partnerships.

I spoke recently with USHCC’s President and CEO, Ramiro Cavazos, about the challenges for Hispanic small businesses, the role of entrepreneurship in fostering equality and how policymakers can help businesses survive the pandemic. Ramiro previously served for 10 years as President and CEO of the San Antonio Hispanic Chamber of Commerce, and before that as Director of Economic Development for the City of San Antonio. I’m grateful to Ramiro for taking the time to offer insights on this historic moment; below is a summary of our conversation.

You can also read my earlier conversation with Ron Busby, CEO of The U.S. Black Chambers, Inc. on the challenges of health and wealth creation in Black communities and the role all of us can play in supporting Black-owned businesses.

Rhett Buttle: Hispanic-owned businesses have been among the hardest hit during this pandemic, and many don't have the cash reserves to survive an extended lockdown. What other impacts are you seeing on Hispanic business owners and workers? 

Ramiro Cavazos: Historically, Hispanic businesses have had trouble accessing credit and loans alike. A recent study by JP Morgan Chase found that Black- and Hispanic-owned businesses are underrepresented among firms using external financing and face challenges of lower revenues, profit margins, and liquidity. So it’s no surprise that the recent PPP program was not equitable for most minority-owned businesses. This segment of the business community does not have the sufficient cash flow to increase their debt or gain further government subsidies. Many Hispanic businesses were forced to shut down—especially in the retail and hospitality space. Hispanic workers have also been among the hardest hit, with almost half in a Pew Research Center poll saying that they or someone in their household has taken a pay cut or lost a job—or both—because of the pandemic. What these enterprises need is a sound road to recovery with necessary liquidity and technical assistance.

Buttle: How have policymakers and other leaders—for example, corporate or philanthropic—stepped up to support the Hispanic small business community, and what more needs to be done?

Cavazos: Many corporate and government leaders have provided funds for the minority and small business community. To a large extent, Hispanic-owned businesses have not been able to access government funding through PPP or Economic Injury Disaster Loans. Half of Hispanic business owners who applied to the PPP were denied assistance—the highest rate of any group. Some corporations have assisted with payment deferments for their existing customers. We encourage lawmakers to continue to provide necessary access to capital—through business grants or forgivable loans—for our businesses to recover and thrive after the pandemic.

Buttle: Between COVID-19 and recent protests against police brutality, the deep inequalities of American life are increasingly exposed. What role can entrepreneurship play in bringing equality to our country over the long term?

Cavazos: Seventy percent of the U.S. economy is driven by consumer spending. Entrepreneurship belongs to everyone—as long as they have an equal chance to compete, access to capital and diverse markets and public contracting opportunities. Therefore, minority-owned enterprises, the fast growing segment of the U.S. economy, should be afforded more respect, more focus on procurement goal setting and expanded opportunities.

Buttle: What recommendations do you have for Hispanic business (and all small business owners) in the current environment?

Cavazos: Now is the time for our businesses to be innovative, drive businesses into the new technological world and diversify revenue streams. Finding niche products and service delivery opportunities is key to evolving both during and after COVID-19. Businesses should take this time to solidify relationships with their financial services institutions; find avenues for diverse lending through non-traditional revenues, such as crowd funding and fintech opportunities; and identify the nearest community financial development institutions and minority depository institutions in their respective community so they can solidify access to the capital they need to grow and thrive.

Other resources:

This piece originally appeared in Forbes on July 27, 2020. You can view it online here.

Rhett Buttle is the founder of Public Private Strategies, Executive Director of the Small Business Roundtable, Founder of the NextGen Chamber of Commerce, a Senior Fellow at The Aspen Institute, and a contributor for Forbes.

WANTING MORE NEWS? SIGNUP TODAY

Contact Us

December 13, 2024
Rhett Buttle, Founder and CEO of Public Private Strategies, joined Fox Live Now to talk about the state of the economy and the outlook for 2024. Watch the full interview here or below.
October 7, 2024
*This article was written by Scripps News Staff. President Joe Biden announced that the government will cover 100% of Hurricane Helene cleanup costs for the next several months to pay for the urgent work to clear the mud, remove downed trees and provide temporary housing. The federal support comes as residents in multiple Southeastern states are still struggling to return to normal following last week’s storm that killed over 200 people. Katie Vlietstra Wonnenberg, a small business advocate and political strategist, said it is going to take a significant amount of time to finish the cleanup, no matter how hard the federal government works. Read the entire piece on Scripps News.
October 1, 2024
WASHINGTON, D.C. – This month marks the anniversary of two pivotal pieces of legislation that are helping fuel a small business boom, the CHIPS & Science Act and the Inflation Reduction Act. Over the past four years, there has been a historic growth of American entrepreneurship across the country, with over 18 million new business applications filed, each one an act of hope and optimism in our economic future. This small business boom is fueled by investments like the Inflation Reduction Act and the CHIPS & Science Act. Rhett Buttle, Founder and CEO of Public Private Strategies, released the following statement: “As we mark the two-year anniversaries of the CHIPS & Science Act and the Inflation Reduction Act, the positive impact across the business landscape, and particularly for entrepreneurs, is unmistakable. The CHIPS & Science Act is fueling entrepreneurship opportunities by dedicating over $50 million to help develop new ideas and technologies to strengthen domestic semiconductor production and supply chain. “The Inflation Reduction Act has helped lower costs for workers and consumers, driving up demand for small businesses across the country. The healthcare provisions of the Inflation Reduction Act alone are saving millions Americans an average of $800 per year on health insurance premiums. These investments have helped fuel America’s small business boom, including a record 18 million new small business applications filed over the past four years. “We have more work to do to address the issues that business owners have consistently said are their top priorities, from lowering health care and prescription drug costs to expanding and streamlining contracting opportunities for small employers to strengthening and protecting American democracy . We remained committed to working with business leaders to address these challenges and ensure these investments are implemented effectively to grow economies and support communities all across the country.” ### About Rhett Buttle Founder & CEO, Public Private Strategies President, Public Private Strategies Institute Senior Fellow, The Aspen Institute Rhett Buttle is an entrepreneur, advocate, and one of the most trusted leaders at the intersection of business and policy in Washington, DC. He has worked for President Biden, Vice President Harris, President Barack Obama, Secretary of State Hillary Clinton, and Governor Arnold Schwarzenegger in government and campaign roles. Rhett is the founder of Public Private Strategies (PPS) and President of the Public Private Strategies Institute (PPSI), which works to bring together the public and private sectors to build coalitions, activate campaigns, and create strategic partnerships to drive policy and market outcomes. In these roles, he advises leading policy makers, foundations, nonprofits, and corporations. In addition to PPS and PPSI, he has helped found the Small Business Roundtable, Small Business for America’s Future, and the Next Gen Chamber of Commerce. He is also a Senior Fellow at the Aspen Institute and a regular contributor to Forbes, where he writes on the intersection of business, policy, and politics. Rhett has also been featured in The New York Times, CNN, The Wall Street Journal, and several other business publications. About Public Private Strategies Public Private Strategies (PPS) creates opportunities where the public and private sectors meet. We bring together diverse allies including foundations, associations, corporations, small businesses, and entrepreneurs to solve pressing societal challenges. By harnessing the power of the private sector, we build coalitions, activate campaigns, and create strategic partnerships to drive desired policy and market outcomes. Learn more at www.publicprivatestrategies.com .
August 21, 2024
Rhett Buttle, Founder and CEO of Public Private Strategies, joined LiveNOW Fox to talk about Night 3 of the Democratic National Convention.
August 20, 2024
Rhett Buttle, Founder and CEO of Public Private Strategies, joined LiveNOW Fox to talk about Night 2 of the Democratic National Convention.
August 19, 2024
Rhett Buttle, Founder and CEO of Public Private Strategies, joined Scripps News to discuss Night 1 of the Democratic National Convention.
August 15, 2024
Rhett Buttle, Founder and CEO of Public Private Strategies, joined Scripps News to discuss what a Kamala Harris Presidency could mean for small businesses. Watch the interview below
August 9, 2024
WASHINGTON, D.C. – This month marks the anniversary of two pivotal pieces of legislation that are helping fuel a small business boom, the CHIPS & Science Act and the Inflation Reduction Act. Over the past four years, there has been a historic growth of American entrepreneurship across the country, with over 18 million new business applications filed, each one an act of hope and optimism in our economic future. This small business boom is fueled by investments like the Inflation Reduction Act and the CHIPS & Science Act. Rhett Buttle, Founder and CEO of Public Private Strategies, released the following statement: “As we mark the two-year anniversaries of the CHIPS & Science Act and the Inflation Reduction Act, the positive impact across the business landscape, and particularly for entrepreneurs, is unmistakable. The CHIPS & Science Act is fueling entrepreneurship opportunities by dedicating over $50 million to help develop new ideas and technologies to strengthen domestic semiconductor production and supply chain. “The Inflation Reduction Act has helped lower costs for workers and consumers, driving up demand for small businesses across the country. The healthcare provisions of the Inflation Reduction Act alone are saving millions Americans an average of $800 per year on health insurance premiums. These investments have helped fuel America’s small business boom, including a record 18 million new small business applications filed over the past four years. “We have more work to do to address the issues that business owners have consistently said are their top priorities, from lowering health care and prescription drug costs to expanding and streamlining contracting opportunities for small employers to strengthening and protecting American democracy . We remained committed to working with business leaders to address these challenges and ensure these investments are implemented effectively to grow economies and support communities all across the country.” ### About Rhett Buttle Founder & CEO, Public Private Strategies President, Public Private Strategies Institute Senior Fellow, The Aspen Institute Rhett Buttle is an entrepreneur, advocate, and one of the most trusted leaders at the intersection of business and policy in Washington, DC. He has worked for President Biden, Vice President Harris, President Barack Obama, Secretary of State Hillary Clinton, and Governor Arnold Schwarzenegger in government and campaign roles. Rhett is the founder of Public Private Strategies (PPS) and President of the Public Private Strategies Institute (PPSI), which works to bring together the public and private sectors to build coalitions, activate campaigns, and create strategic partnerships to drive policy and market outcomes. In these roles, he advises leading policy makers, foundations, nonprofits, and corporations. In addition to PPS and PPSI, he has helped found the Small Business Roundtable, Small Business for America’s Future, and the Next Gen Chamber of Commerce. He is also a Senior Fellow at the Aspen Institute and a regular contributor to Forbes, where he writes on the intersection of business, policy, and politics. Rhett has also been featured in The New York Times, CNN, The Wall Street Journal, and several other business publications. About Public Private Strategies Public Private Strategies (PPS) creates opportunities where the public and private sectors meet. We bring together diverse allies including foundations, associations, corporations, small businesses, and entrepreneurs to solve pressing societal challenges. By harnessing the power of the private sector, we build coalitions, activate campaigns, and create strategic partnerships to drive desired policy and market outcomes. Learn more at www.publicprivatestrategies.com .
July 21, 2024
WASHINGTON, D.C. – Today, President Joe Biden announced his decision to withdraw from the presidential race. Rhett Buttle, National Business Advisor to Biden for President in 2020, CEO of Public Private Strategies & Co-Founder of the Business & Democracy Initiative , released the following statement: “President Joe Biden showed us what selfless leadership in support of democracy looks like. “Through his work with policymakers across the aisle, President Biden and Vice President Harris led the country back from the brink during a pandemic and delivered bipartisan historic investments that will continue to ripple across our economy for generations, fueling strong job growth. The American Rescue Plan, Bipartisan Infrastructure Law, CHIPS & Science Act, and Inflation Reduction Act are some of the most significant economic achievements in modern American history. “This has led to record numbers of new business starts—more than 17.2 million—each one an act of hope and optimism for our future. We look forward to working with the Biden-Harris Administration over the next few months to continue strengthening our economy in support of businesses and workers all across the country.” ### About Rhett Buttle, Founder, Public Private Strategies and President, Public Private Strategies Institute Rhett Buttle is an entrepreneur, advocate, and one of the most trusted leaders at the intersection of business and policy in Washington, DC. Most recently, Rhett served as National Business Advisor to President Joe Biden’s 2020 campaign. He has worked for President Barack Obama, Secretary of State Hillary Clinton, and Governor Arnold Schwarzenegger. Rhett is the founder of Public Private Strategies (PPS) and President of the Public Private Strategies Institute (PPSI), which works to bring together the public and private sectors to build coalitions, activate campaigns, and create strategic partnerships to drive policy and market outcomes. In these roles, he advises leading policymakers, foundations, nonprofits, and corporations. About Public Private Strategies Public Private Strategies (PPS) creates opportunities where the public and private sectors meet. We bring together diverse allies including foundations, associations, corporations, small businesses, and entrepreneurs to solve pressing societal challenges. By harnessing the power of the private sector, we build coalitions, activate campaigns, and create strategic partnerships to drive desired policy and market outcomes. Learn more at www.publicprivatestrategies.com . As the United States marks the 14th anniversary of the AffordableCare Act (ACA), more Americans now have health care coverage than ever before. Since its enactment in 2010, the ACA has been a vital tool for Main Street, providing access to affordable healthcare options and fostering a healthier, more productive workforce.
April 29, 2024
WASHINGTON, D.C. – Today, the Bureau of Labor Statistics released its March jobs report, showing the US economy added 303,000 jobs in March while the unemployment rate fell to 3.8%. CNN characterized US job growth in March as “whopping,” with gains far outpacing economists' expectations. In response to the strong jobs report, Rhett Buttle, Founder of Public Private Strategies, released the following statement: “The labor market continues to exceed economists’ expectations, with over 300,000 jobs added in March – 50% more than economists anticipated. Bipartisan investments like the Bipartisan Infrastructure Law, CHIPS & Science Act, and Inflation Reduction Act are fueling broad-based economic growth that is strengthening the labor market, increasing consumer confidence , and leading to over 16 million new small business applications in the past three years – the most ever in that period and a reflection of deep optimism among American entrepreneurs about our economic future.” “Lawmakers must continue to double down on America’s economic momentum, and that starts with addressing the issues that business owners say are their top priorities, from lowering health care and prescription drug costs to strengthening and protecting American democracy .” ### About Rhett Buttle, Founder, Public Private Strategies and President, Public Private Strategies Institute Rhett Buttle is an entrepreneur, advocate, and one of the most trusted leaders at the intersection of business and policy in Washington, DC. Most recently, Rhett served as National Business Advisor to President Joe Biden’s 2020 campaign. He has worked for President Barack Obama, Secretary of State Hillary Clinton, and Governor Arnold Schwarzenegger. Rhett is the founder of Public Private Strategies (PPS) and President of the Public Private Strategies Institute (PPSI), which works to bring together the public and private sectors to build coalitions, activate campaigns, and create strategic partnerships to drive policy and market outcomes. In these roles, he advises leading policymakers, foundations, nonprofits, and corporations. About Public Private Strategies Public Private Strategies (PPS) creates opportunities where the public and private sectors meet. We bring together diverse allies including foundations, associations, corporations, small businesses, and entrepreneurs to solve pressing societal challenges. By harnessing the power of the private sector, we build coalitions, activate campaigns, and create strategic partnerships to drive desired policy and market outcomes. Learn more at www.publicprivatestrategies.com . As the United States marks the 14th anniversary of the AffordableCare Act (ACA), more Americans now have health care coverage than ever before. Since its enactment in 2010, the ACA has been a vital tool for Main Street, providing access to affordable healthcare options and fostering a healthier, more productive workforce.
More Posts
Share by: