Funding New Business Ventures: Differences In Minority And Non-Minority Family-Owned Business Access To Start-Up Capital

• Published in: Journal of business & economics research (Littleton, Colo.) Colo.), 2011-02, Vol.1 (2)
• Main Authors: Smith-Hunter, Andrea, Nolan, James R.
• Format: Article
• Language: English
• ISSN: 1542-4448; 2157-8893
• DOI: 10.19030/jber.v1i2.2971

Access to start-up capital is important in starting any business venture. In addition, the source of that start-up capital can sometimes affect the prospects for success in the new business venture. This study examines the differences in the source of start-up funds between male minority and male non-minority family business owners. The findings indicate that male minority family business owners more often use credit cards and gifts from family as a source of start-up funds whereas the male non-minority family business owners rely more often on bank loans. The authors propose a more extensive survey of a larger sample of family business owners in order to further identify differences in source of start-up capital between male minority and male non-minority family business owners.