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12 n e w h a v e n B I Z | A p r i l 2 0 2 2 | n e w h a v e n b i z . c o m By Michelle Tuccitto Sullo L ocal entrepreneur Alisa Bowens- Mercado has successfully launched not one, but two businesses. First came Alisa's House of Salsa, a dance studio in downtown New Haven, which is now 22 years old and has taught Salsa moves to thousands. Four years ago she launched Rhythm Brewing Co., a New Haven-based brewery, giving it a name that reflects her love of dancing. It is the first Black and female-owned beer company in the state. As Bowens-Mercado tried to navigate launching and building her businesses, she encountered challenges along the way. While some are common for all budding entrepreneurs, Bowens-Mercado notes that creating a successful business can be even harder for minority operators. "We have had problems with startup costs, capital and funding," Bowens- Mercado said. "e beer culture embraced me, but some people were uncomfortable with me being a person of color. In my case, brewing has been a male-dominated industry, so there also has been breaking barriers." But Bowens-Mercado and other minority entrepreneurs don't have to go it alone. ere has been a growing network of organizations and programs coming online throughout New Haven County and the state aimed at helping minority-owned companies overcome challenges as they launch and try to grow. Minority business leaders say the support is helpful and much needed, but more still needs to be done to boost their overall numbers and success rates. Bowens-Mercado credits organizations like the Black Business Alliance, Greater New Haven Chamber of Commerce and Greater New England Minority Supplier Development Council with helping her, including by connecting her to others. "It is like a community where we can talk to each other," Bowens-Mercado said. "ese organizations want to see you win. It takes a village to raise a business." Capital access Minority-owned businesses represent a small subset of the overall ecosystem. According to the U.S. Census Bureau, approximately 18% of U.S. businesses are minority-owned. Anne-Marie Knight, executive director of the nonprofit Black Business Alliance (BBA), knows all about the difficulties minority entrepreneurs face. e organization, which recently opened a new state headquarters inside the Connecticut Post Mall, provides entrepreneurs with training and networking. A big challenge for minority entrepreneurs is lack of access to capital, she said. "Sometimes they are starting with less than $3,000, and they don't have a network of family and friends to help with financing," Knight said. ey also typically don't have the same level of access to traditional funding like bank loans. is can be due to issues such as bad credit or owing back taxes, Knight said. "Some people have perfect credit but still have trouble getting money," Knight said. "Black business owners have had negative experiences with banks, including having loans denied." According to Fundera Inc., approximately 66% of minority business owners obtain money they request from a bank, compared to 80% for non-minorities. To counteract this problem, the BBA talks to bank officials about their rules and regulations to help entrepreneurs and act as an intermediary, Knight said. Minority entrepreneurs also have had banks require more information than they would ask for from a white person, according to Knight. "It's institutional racism," Knight said. "We have a dialogue and do training, so people look at what they have been doing in the past and what they can do differently." e BBA has launched a "funding superhighway" program that involves banks, economic development groups and other organizations, with a goal of getting needed capital in entrepreneurs' hands. e BBA has a partnership with the CT Minority Business Initiative to provide access to capital up to $100,000. On the non-financial side, the BBA helps entrepreneurs put together business plans and provides help with training, marketing and online branding. Finding mentors Juan M. Salas- Romer, founder and executive director with the KNOWN Coworking & Growth Lab in New Haven, said his organization works to help address key barriers to business growth. Its KNOWNpreneurs business accelerator helps early-stage minority businesses. He also said minorities oen have less startup capital due to less generational wealth and other challenges such as child care needs and having to provide for extended family members. According to Salas- Romer, they need grants, child care and coaching. Collaboration among those who have been through the same journey can be key in helping these businesses succeed. Finding mentors is another challenge facing minority entrepreneurs, according to Jesse Phillips, coordinator of inclusive growth with the Greater PHOTO | GARY LEWIS Helping Hands Minority-owned business support network is growing, but entrepreneurs say more is needed Alisa Bowens-Mercado owns two businesses, Rhythm Brewing Co. and Alisa's House of Salsa. Organizations, programs aiding minority-owned businesses Greater New England Minority Supplier Development Council: https://gnemsdc.org/ Greater New Haven Chamber of Commerce: https://www.gnhcc.com/ The Black Business Alliance: https://www.bbusinessalliance.org/ Collab: https://collabnewhaven.org/ CONNCORP: https://conncorp.org/ ConnCAT: https://conncat.org/ KNOWNpreneurs Growth Lab: https://www.nhvknown.com/knownpreneurs/ Spanish American Merchants Association: http://samact.org/ Comcast Rise: https://www.comcastrise.com/ New Haven Small Business Resource Center: https://www.newhavenct.gov/gov/depts/obd/small_business.htm Connecticut Small Business Development Center: https://ctsbdc.uconn.edu/ Black-owned business guide: ShopBlackCT.com Juan M. Salas-Romer PHOTO | LIESE KLEIN Black Business Alliance Executive Director Anne-Marie Knight with a Kenyan beaded necklace at the group's new hybrid office and retail space in the Connecticut Post Mall.

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