♪ >> Ron Busby, the president and C.E.O.

of the U.S. Black Chamber of Commerce, next on "The Chavis Chronicles."

>> Major funding for "The Chavis Chronicles" is provided by... Reynolds American, dedicated to building a better tomorrow for our employees and communities.

Reynolds stands against racism and discrimination in all forms and is committed to building a more diverse and inclusive workplace.

American Petroleum Institute.

Through the core elements of API's Energy Excellence program, our members are committed to accelerating safety, environmental, and sustainability progress throughout the natural-gas and oil industry in the U.S. and around the world.

You can learn more at api.org/apienergyexcellence.

Over the next 10 years, Comcast is committing $1 billion to reach 50 million low-income Americans with the tools and resources they need to be ready for anything.

♪ >> It is an absolute pleasure that we welcome to "The Chavis Chronicles" the president and C.E.O.

of the U.S. Black Chamber.

Or should I say, United States Black Chamber.

Tell us, what is the U.S. Black Chamber?

>> First off, man, thank you for having us here with you today.

The U.S. Black Chamber really represents the Black voice of Black businesses across the country.

We were founded in 2009, here in Washington, D.C., and when we were founded, we were founded on what we call our five key pillars or kind of our mission, what drives us each and every day.

And the first one -- the importance of being here and having this conversation with you today -- is really around advocacy.

And so we create policy that's positive and moving for Black business owners across the country.

Second one is around access to capital, and we know how extremely important that is in the growth and development of Black-owned businesses.

And so the U.S. Black Chamber is working with Black banks, Black CDFIs, and Black financial institutions to provide the capital needed for Black businesses to grow and expand.

Our third one is around entrepreneurial training, really to make sure that our business owners have the resources, the acumen and skills, and, most importantly, relationships to continue to grow to move our businesses forward.

And, lastly, it's around chamber development.

And, so, the U.S. Black Chambers is extremely proud of our history, but, more importantly, we're looking both tactically and strategically at the future of Black businesses and how we can continue to move our conversation forward.

>> Very good.

That's a big mission.

>> Yes, it is.

>> Listen, you are an entrepreneur, but I'm gonna talk about your own upbringing.

You're from a great city named Oakland, California.

>> Yes, sir.

>> So, how does Ron Busby, born in Oakland, become, now, this leader of Black-owned businesses across the United States?

>> That's a great question.

So, I was actually born in Houston, Texas, but I grew up in Oakland, moved there when I was 6 years old.

And I tell this story often that I was blessed to have both parents in my family.

And, so, my mother was a teacher and educator, as well as a minister.

So I say I'm blessed to be both well-educated.

In Historically Black Colleges, all the way through elementary school, always had Black teachers.

But she also wore the cloth, so she was a minister.

So I say well-educated, and I know my Lord and Savior, Jesus Christ.

But I was also blessed enough to have a father in my home, and my father was an entrepreneur, as well as a member of the Black Panther Party.

I think there's this misconception about the Black Panther Party that they were all about leather coats and shotguns, and though that is a memorable vision of who they were, they were also community-involved.

They were there to make sure that we had breakfast before we went to school.

>> I remember the free-breakfast program, the free-education program.

>> Exactly.

>> Free-child-care program.

>> Yes.

And, so, from that very early-on opportunity for me to see, I saw the impact that Black men could have on their communities, making sure that we were leading each other in a positive environment.

And so I learned those skills early on to be able to see Black men in that position, and that stayed with me the rest of my life.

And then, in 2009, I had the opportunity to get a phone call to say that there was an interest in starting a new chamber of commerce, nationally, here in Washington, D.C. And so, at that point in time, March 2009, moved here and started the U.S. Black Chamber.

>> You know, we have a national, diverse audience.

So one question -- is there any communication intersection, any collaboration between the U.S. Black Chamber and the U.S. Chamber of Commerce?

>> Very good question.

And, yes, we serve in capacities where the U.S. Chamber brings us in on a quarterly basis to talk about issues that are pertinent to Black business owners, as well as the entire economic conversation around America.

We say, for there to be a great America, there must be a great Black America.

And in order for there to be a great Black America, there needs to be great Black businesses.

And so we work hand in hand with the U.S. Chamber to make sure that we're making intentional and directed policy conversations, as well as opportunities and transitional conversations for our communities.

>> You know, the U.S. economy is a multi-trillion-dollar-a-year economy, and I'm told that African-Americans spend in excess of over $1.3 trillion.

We're consumers.

But you come from a different perspective as a business owner, as an entrepreneur, as a producer to the economy.

Talk of us about the importance of Black Business development, Black Business expansion and, from your perspective, Ron Busby, what is the future of Black Business in America?

>> Well, that conversation about that trillion dollars is an interesting number and conversation.

Usually, it's Corporate America saying that Black consumers have $1 trillion and "How can we market to them to make sure that they get their share?"

The U.S. Black Chamber says, "We, as Black consumers, as Black Americans have $1 trillion.

How can we keep that in our community to make sure that our communities have sustainability in long term?"

In reference to the second part of your question -- where do you see the future of Black-owned businesses -- well, last year, we know that it was a difficult time for the majority of businesses in America.

>> COVID.

>> Because of COVID, because of George Floyd, but also because of the stimulus package -- or the lack thereof for our communities.

There was a $349 billion stimulus package, but when you talk to Black businesses, they got very few of those dollars.

And so we lost 41% of Black businesses between the months of February and April of 2020.

That represents about 442,000 businesses that were closed.

>> And make sure I heard you right.

40%?

>> 41%.

>> 41% of Black businesses were lost during the initial phase of COVID?

>> Yes, sir.

Between the months of February 2020 and April, we lost nearly 442,000 businesses, and many of them will never reopen.

And many of those firms had employees.

They had vendors.

They had customers.

And when you lose that revenue base, when you lose that tax base in the communities in which they served and operated in, many of those businesses are now being refilled with White-majority firms.

And so it's a huge loss that many of those businesses that were closed had been there, traditionally, for years.

And it's so difficult for us to start businesses coming out of the gate that it's going to be even that much more diligent for us to make sure that we have businesses that are going to come back in the near future.

>> So, as you look toward the future, are we going to be able to recover some of those businesses or do you think, through innovation and with the help of the U.S. Black Chamber, we'll just be able to start new businesses?

How do we recover for such an economic loss?

>> That's a great question.

And that's kind of why we're here today.

When we surveyed those businesses, 70% of them said that the reason that they went out of business had nothing to do with financial literacy, like we heard so much, but it was really the lack of information.

And so when we have opportunities like this to come on your show to talk about, "Here's pertinent information for business owners to make sure that they know where to go, what to do when they go there, what to ask for," and during times like this, when many of our businesses are being shut down or forced to stay at home, now's the time to prepare for the future.

I think the future of business is going to have a lot to do with e-commerce.

It's going to have to do a lot with the technology that is being presented to our business owners.

And so we've got to think differently in reference to what we do and how we do it going forward.

>> Ron, you have your hand on the pulse of where Black businesses are going today.

Throughout over the next five years, what do you see happening in terms of opportunities for Black entrepreneurs to have sustainable businesses?

Not just go into business, but to be able to make those businesses profitable and sustainable.

>> It's a great question.

So many folk are saying, "You know, I think I want to go into business for myself."

And we know, just based upon the data, that 90% of businesses fail within the first few years.

The challenge that Black business owners have is that although we represent 2.6 million Black firms across the country, 2.5 million have no employees.

They're not mom-and-pop businesses.

They're mom or pop.

And when we talk to Corporate America, when we talk to government agencies, the story is, "Ron, we'd do more business with Black firms, but there's two challenges.

One, we either can't find them or, two, they don't have the size and the scale."

So the future of Black business is, one, make sure they get certified so that we can find you -- both Black consumers, Corporate America, and governmental officials.

And so for those that are listening and you're a Black-owned business that's owned 51% or more, you can be certified at ByBlack.us -- ByBlack.us -- to make sure that we can find you and make sure that you are who you are.

>> That's a national certification?

>> That's a national certification.

>> Well, 'cause, as you know, there's controversy about who certifies and how do you get certified?

A lot of times, the term "minority businesses," "Black-owned businesses," some kind of get left out because they're not "certified."

>> Great statement there.

We saw the President of the United States go to Tulsa, Oklahoma.

>> The 100-year anniversary of Tulsa.

>> Yeah.

♪ And make a commitment the federal government was going to increase its spend with Black firms from 5% to 15%.

And we challenged him to say, "Well, how are you planning on doing that?"

Because right now, if I'm a Black-owned firm, as you stated, when I go to get certified, I'm certified as a minority firm.

And it's very difficult for Black firms to be able to be found and compete in such a broad brush of business owners.

Historically, it has been White women that have benefited from minority programs -- >> Because women are considered a minority.

>> Women are considered minorities.

And so -- >> In the business field.

>> In the business relationship.

And so when we're competing against many of those firms, we're being left out of the opportunities to be able to get those contracts and to be able to move forward.

The second piece of that conversation is, we have to do more creative mergers and acquisitions and joint ventures and so there's -- we can take away that conversation about us not having the size and the scale.

Great things are happening around the country -- >> Now you sound like my friend, who's passed away, Reginald F. Lewis.

>> My mentor, yes.

>> He dealt with the question of mergers and acquisitions to bring businesses together so they can have scalability.

>> Exactly.

And I read that book that you're speaking of, "Why Should White Guys Have All the Fun?

", and it really kind of moved me in the direction of acquisitions.

But I think that's how we're going to have to tackle this challenge of size and scale.

We no longer have the opportunity to wait around for our small businesses to grow in size, because, right now, with the infrastructure bill being discussed here in the federal government, those contract opportunities are being released in the very near future.

We've got to be able to take advantage of this now to say, "Hey, how can we bring our businesses together to be able to go after these large contract opportunities to make sure that we're not going to be left out for another 40 or 50 years?"

>> The United States Department of Commerce has an entity called the SBA, the Small Business Administration.

How is the U.S. Black Chamber working with the SBA?

>> Great question.

So, the administrator is a good friend of ours, Isabella Guzman.

One of the programs that they have that's being discussed as we speak, is a Navigator Program where there are spokes and wheels.

And, so, it's about -- It's a $5 million contract over the next two years.

It will allow for the smallest of the small businesses to make sure that they understand where there are opportunities to make sure that they understand where there's education and resources for them.

And so the SBA is not missing out on many of the minority-owned businesses, the Black-owned businesses in both rural communities and as well as urban cities.

They want to make sure that they're reaching across the globe to make sure that all businesses have the opportunity to participate, and the U.S. Black Chamber is at the table when those conversations are being discussed, making sure that our voices and our businesses are being represented.

>> You're one of the few national organizations that really come out of the heart of our community that has their own app.

You developed your own app.

Tell us about the U.S. Black Chamber app, how people can get it, and what is the benefit of the app.

>> So, as was discussed, the application is ByBlack -- ByBlack.us.

The great thing is that, last year and this year, we've seen the commitment of both Black consumers and Corporate America.

We heard the number -- $6.6 billion of commitment from Corporate America saying that they were going to spend with Black firms.

Now this application allows our businesses to be found, to be certified.

>> So there's a directory?

>> It's a directory, but, more importantly, it gives a platform for our businesses to talk to each other.

E-commerce is really part of the future.

So businesses and consumers across the globe as far as Africa, Canada, and, obviously, here in the United States.

With the commitment of Black people wanting to spend more, because we really understand the importance of our culture now, we want to control the products and services that we're spending with and making sure that we're making the right business decisions.

So this application allows us to be educated, as well as resourceful.

>> And people can download the app.

It's an app store?

How do you -- Do you have to purchase the app?

How do you get the app?

>> It's a free app.

Anyone can use it.

You can download it to your phone, to your laptop, to your computer.

Both Corporate America, as well as federal government and private consumers are using the application to find businesses.

And if you are a business, you can make sure that you're on-boarding your firm so that you can be found, as well.

>> Now, you touched on something I want to ask you.

The U.S. Black Chamber -- I know there's a chamber in Africa.

There's a chamber in Brazil.

There's a chamber in the Caribbean.

Has there been any envisioning about a global Black Chamber of Commerce?

>> Great question.

When I started the U.S. Black Chamber, in 2009, we had six chambers.

Today, we have over 150 chambers located in 42 states.

But we're also in Toronto, Canada, and we have six chambers on the continent of Africa, in six different countries.

You know, a lot of Black people, including our members, talk about the conversation of reparations.

And we say that conversation begins with opening the doors for us to do business with other Black people around the world.

We say, if you give us the opportunity to do commerce with one another, we can grow one another's countries, our businesses, as well as our communities and families.

And so we think that the Black Dollar across the globe is really the future of Black people across the globe.

And so the U.S. Black Chamber is looking to continue to expand our network of chambers, but, more importantly, our network of Black businesses around the world.

>> So, Ron, you were brought up in an entrepreneurial family.

What do you say to the youth of our communities today?

Are there opportunities?

You know, I hear from a lot of the young people that say they want to stack their paper, they want to go out and make some money, they want to hustle.

But tell us, from your informed experience, is entrepreneurship a pathway to progress for consideration by our young people?

>> It's a difficult conversation.

I would say that the fastest way to success is really by owning a business.

It's the fastest way -- >> Owning your own business.

>> Owning your own business.

But I also stated earlier that 90% of small businesses fail within the first few years.

And so if you're a young person, 19, 20 years old -- I have young men, two sons.

I tell them all the time, if you're going to fail so early, why would you do that?

I would much rather you find that niche that you think you are in.

I'm sure that there's a Black business owner currently doing something very similar.

I would recommend, let's go and do some mentoring.

>> Apprenticeships and mentor.

>> Apprenticeship.

Go volunteer or go work for a small business.

What we have seen is that you have a much better chance at success both by succession planning -- Many small businesses fail not because they go out of business, just because they don't have a succession plan.

There's no one to pass that baton to.

And so I would recommend to many young people, let's make sure that you're finding existing business owners that you think you might be able to transition into some new technology and some new methodology, new innovation to move that business forward.

My personal story?

I worked in Corporate America for 10 years.

I left Corporate America to take over a family business.

I grew that family business from five employees to 1,500 employees.

Many of my peers thought that I was crazy to leave a corporate job to go run a family business, but I had a vision to be able to grow that firm, and we ended up becoming the largest Black janitorial firm in the country, doing over $21 million a year.

So the opportunities are out there, but, like myself, I was trained by Corporate America so I was able to make some of those early-on mistakes on their dime as opposed to making those same mistakes on my dime, which would have had an impact on me, my business, as well as my future.

>> You know, some time ago, you asked me to speak at your son's high school.

It is one of the most leading high schools in the District of Columbia.

What's happening with your son?

And the reason why I bring this up is that we need more fathers, we need more business leaders that would take time not only with their own children, but with the children of the community to kind of guide them on the right paths to financial success.

>> My son did attend Georgetown Prep here in Washington, D.C., an all-boys boarding school, the second-oldest school in the country.

And he still, today, talks about that speech and those conversations that you had with he and his classmates.

And, so, I tell young men like myself when I was coming up, I had leaders in my community that I could look up to and say, "I want to be like him" or "I want to follow in his or her footsteps."

And so often, young people can't be what they can't see.

And so when they can see great leaderships, when they can see men of honor doing and making good decisions not just for themselves, but their families and for their communities, then it gives them something to aspire to do.

And so I wear that hat with honor to not just be a mentor for my personal sons, but to other young men.

Several years ago, we created a program called Black Male Entrepreneur Institute, BMEI, where we mentored young men that were interested in becoming entrepreneurs or in the profession of policy creation.

And I was really impressed by their commitment, by their enthusiasm, as well as their vision.

I think this country is in a great place.

I think these young people today understand that the challenge of the future falls on them.

They are looking to men like you and I to make sure that they're gathering the types of resources and types of vision that we have.

But they're watching our moves, and so I take that into consideration when I'm making decisions.

>> Ron Busby, president and C.E.O.

of the U.S. Black Chamber, thank you so much for joining "The Chavis Chronicles."

>> Thank you.

>> Major funding for "The Chavis Chronicles" is provided by... Reynolds American, dedicated to building a better tomorrow for our employees and communities.

Reynolds stands against racism and discrimination in all forms and is committed to building a more diverse and inclusive workplace.

American Petroleum Institute.

Through the core elements of API's Energy Excellence program, our members are committed to accelerating safety, environmental, and sustainability progress throughout the natural-gas and oil industry in the U.S. and around the world.

You can learn more at api.org/apienergyexcellence.

Over the next 10 years, Comcast is committing $1 billion to reach 50 million low-income Americans with the tools and resources they need to be ready for anything.

♪