|| Print ||
|Articles - July/August 2012|
|Monday, July 09, 2012|
Page 2 of 5
“I’ve always been disconnected,” says Green, who grew up on Houston’s poverty-stricken south side, the child of a single mother with five kids. “We are all disconnected. And the problem we see across the country is that this is not just the pattern, it’s institutionally the way it is.”
The time has come to change the paradigm, says Green, whose speaking style is part Martin Luther King Jr., part Oregon Entrepreneurs Network. “If the United States wants to be globally competitive, we must connect the disconnected.”
To understand the problem Green is trying to address, start with a few facts about venture capital, job growth and African-American entrepreneurship. Last year, angel and venture-capital investors sank $52 billion into roughly 70,000 companies, according to data compiled by the Center for Venture Research at the University of New Hampshire and CB Insights, a New York private company research firm. A study by the Kauffman Foundation, a Kansas City-based group dedicated to entrepreneurship, also showed that young high-growth companies, those whose revenues grow quickly, were the primary source of new job growth in the United States.
The black community is not sharing in this new wealth creation. Between 2002 and 2007, black entrepreneurship spiked 60% compared to 18% in white America. But a closer look at these statistics reveals a gloomier picture: 1.9 million of those new black-owned businesses produced less than 1% of the gross domestic product, and 1.8 million were sole proprietors with no employees. “The reality is there has been zero job growth in black America,” says Green.
A 12-year Navy veteran, Green began researching black entrepreneurship in 2009 when he left his job as content editor at the Ashland Daily Tidings to start out on his own as a digital-tech entrepreneur, experimenting with 3-D gaming platforms for e-commerce. After experiencing first-hand the challenge of building a company and attracting investors, he began to delve deeply into the literature on black innovation. Some of the data confirmed what he already suspected: An entrenched achievement gap in American public schools meant African-American kids were ill-equipped to participate as job seekers or job creators in the rapidly expanding Internet and tech-based sectors.
Green also located one black angel group — “just one” — and found that all minorities combined represented only 4% of all angel investors nationwide.
“We do have innovators; we are very creative people,” says Green. What’s lacking are the mentors, the capital and the accelerators necessary for the black entrepreneurial community to grow. The venture-capital space took off in the 1960s, a time when African-Americans were still fighting for civil rights, Green says. Today, the black tech sector has yet to catch up. Lacking access to risk capital, Green says blacks are “in the valley of death.”
That kind of analysis resonates with Andres Montgomery, a 15-year Microsoft veteran and CEO of Dreem Digital, a Salem-based startup that builds mobile software for education. Montgomery also is one of Oregon’s few black tech entrepreneurs. “I’ve seen fortunes made and seen a lot of people sharing in the prosperity of the industry,” says Montgomery, who met Green last fall, an encounter that has since led to meetings with potential investors. “But I didn’t see that with African-Americans.”
Even when African-Americans succeed in the marketplace, they typically don’t invest in the technology space. Instead, the largest black-owned companies in the country revolve around cars, banks and entertainment — “industries that don’t return the kind of investment that technology does,” says Montgomery.
Tuesday, February 25, 2014
BY SOPHIA BENNETT
The coastal town of Coos Bay appears poised to land every economic development director’s dream: a single employer that will bring hundreds of family-wage jobs and millions in tax revenue.
Wednesday, April 02, 2014
A new report explores the impact of millennials on Oregon's business and political climate.
Thursday, February 27, 2014
BY ERIC FRUITS
Because they have little chance of working for someone else, today’s teens need to be entrepreneurs. But, first, we must teach our teens that entrepreneurship starts small.
Tuesday, April 08, 2014
BY HANNAH WALLACE | OB BLOGGER
It may be obvious, but most farmers don’t make a lot of money. According to preliminary data from the 2012 Agriculture Census, 52% of America’s 2.1 million principal farm-operators don’t call farming their primary occupation. Farm cooperatives may offer a solution.
Tuesday, March 04, 2014
BY DEBRA RINGOLD | GUEST CONTRIBUTOR
How can we strengthen the performance of institutions charged with teaching what Francis Fukuyama calls the social virtues (reciprocity, moral obligation, duty toward community, and trust) necessary for successful markets and democracy itself?
Thursday, April 03, 2014
BY OB STAFF
Learn how to green your workplace and lower your environmental footprint at the office. Oregon Business presents a two-hour "Greening Your Workplace" seminar on May 28th, 2014 at the Nines Hotel in Portland.
Tuesday, February 25, 2014
BY JESSICA RIDGWAY
Ron Green became president and CEO of Oregon Pacific Bank in August 2013.
|How Doug Badger spends his downtime|
|Port at a crossroads|
|100 Best awards 2014|
|Our man in Congress|
|NASA discovers first potentially habitable planet|
|Effects of childhood bullying last a lifetime|
|Scientists make first embryo clones from adults|
|Man urinates in reservoir, ruins 38M gallons of water|
|Recreational marijuana use linked to brain changes|
|Former NYC mayor announces $50M gun law election push|
|U.S. consumer inflation rises: higher food, rent costs|
Marketing the state brings new business, new jobs and a better quality of life for everyone.
Living in the beautiful Pacific Northwest means enjoying our wonderful surroundings, while remaining aware of the multiple types of natural disaster threats that we face: winter storms, windstorms, floods, landslides, earthquakes, volcanoes and tsunamis.“
Oregon State University's hospitality degree program invests in next-generation leaders.
On Saturday, April 26, more than 1,900 local Comcast employees and their families, friends and community partners will “make change happen” as they volunteer to improve schools and nonprofits in Oregon and Southwest Washington as part of Comcast’s 13th Comcast Cares Day.
NAI Norris, Beggs & Simpson just completed their newly rebranded First Quarter Market Reports. Not only does it feature a brand new format, but the report ensures accuracy due to the annual truing up of their database.
Samuel Hernandez, an Associate at Barran Liebman, is the recipient of a 2014 Oregon State Bar Litigation Section Rising Litigator Award.