U.S. Census Bureau

Survey of Business Owners

American Indian- and Alask

Native

-Owned Businesses: 20

Owned Businesses: 20

Census Bureau Economic Data

March 15, 2011
Presenters

Host Stanley J. Rolark

Chief, Public Information Office

U S Census Bureau U.S. Census Bureau

Economic scene Christina Daulton

Prog g ram Manager

National Congress of American Ind

Survey findings Thomas L. Mesenbourg, Jr.

D t Di t d Chi f O ti Deputy Director and Chief OperatinU.S. Census Bureau

Survey uses Survey uses Donald Chapman Donald Chapman

Senior Advisor on Native American 

Affairs

U.S. Department of Commerce

Marc
Resources for Toda

y’s News 

Conference

Come to www.census.gov and click on the 

at the to

p left corner to obtain 

–

• Today’s PowerPoint Presentation• News Release 

– and More!

• Link to Survey of Business Owners Home Page• Link to Guidance on Accessing SBO Data in the 

A i F tFi d American 

FactFi

n

d

e

r

www.census.gov/econ/sbo Marc
About the Survey

• Part of the Economic Census taken ever

years f di i “2” d “7” for years ending in “2” an

d “7”

• The onl

y p ,g y com

prehensive, re

gularl

y collec

data for businesses and business owner

- Minority status

 Race  Ethnicity (Hispanic origin of any rac

- Gender- Veteran status

www.census.gov/econ/sbo Marc
Business Ownership by Rac

Business Ownership by Rac

• Categories of ownership are based on th

Categories of ownership are based on th

race of the person or persons who owned or more of the stock or equity in the busin

in 2007.

• “American Indian- and Alaska Native-Ow

is defined as any firm with American India

and Alaska Native (AIAN) owners holding and Alaska Native (AIAN) owners holding

51% or larger stake in the business.

www.census.gov/econ/sbo Marc
Scope

• Does not include tribally owned business

Does not include tribally owned business

businesses owned by Alaska Native RegVillagp 

e Corporations and their subsidiarie

which are government-owned. 

www.census.gov/econ/sbo Marc
A Unified Voice For Indian Country

• Presenter: Christina Daulton, Program Manager

Policy Research Center

• National Congress of American Indians (ncai.or

Founded in 1944, the National Congress of American Indians serves the broad interests of tribal gocommunities. As a representative congress of American Indian and Alaska Native tribes, we are unand enhance enhance treaty and sovereign sovereign rights while securing securing our traditional traditional laws, cultures cultures, and ways of 

descendents. We advance a common understanding of the rightful place of tribes in the family of governments.

• NCAI Policy Research Center & Data (ncaiprc.org)

A national tribal research center focused on issues facing tribal communities and providing the too

inform public policy debates with meaningful information.

• Indian Country Counts – 2010 Census
Census Data in Indian Country

• Gaps in census data

– Alaska Native Corporations and tribally owned businesses are not included in this survey– Important to look to other sources of data to see the whole picture of businesses in Indian Country

• Economic Development

– Economic development in Indian Country lags behind the rest of the nation– Eight of the ten poorest counties in America are home to Indian reservations– Unemployment among Native people was 15 percent in 2003 and has not dropped below 10 perce

(according to the Census long‐form data).

• Data on recession

– Growth before 2007 recession significant:

• Between 1990 and 2000, Indian Country economies grew at a faster pace than the U.S. econo

– Growth in tribal economies a result of :

• Investments in self‐government government• Building up of institutions: police departments, health clinics, education departments, infrast

systems

– 2010 Economic Policy Institute study release

• First half of 2007 to the first half of 2010, the American Indian unemployment rate nationally 

percentage points to 15.2 percent, which was an increase 1.6 times the size of the white incr

Different race (according to the Bureau of Labor Statistics)

– Different recession, American Indian Unemployment in 2010, Economic Policy Institute
A Look at the 2007 Statistics A Look at the 2007 Statistics

for American Indian- and Alask

Native-Owned Businesses

in the United States

www.census.gov/econ/sbo Marc
American Indian- and Alaska Nativ

Owned Businesses Compared to All 

Businesses by Employer Status: 2

AIAN-owned 

businesses

All U.S. 

businesses

Firms

(number)

Sales and 

receipts

($ billions)

Firms 

(number)

Sal

rec

($ b

All firms1 All firms 236 96 34 2 09 236 

1 236,96

7 34

27,097,236 

Employer firms 23,704 28 5,739,890 Nonemployer 213 263

7 21 357 346 

firms 213,263

7 21,357,346 

1 Includes firms with paid employees and firms with no paid employe

Note: Detail may not add to total because of rounding.

www.census.gov/econ/sbo Marc
American Indian- and Alaska Nativ

Owned Business Ownership PerceOwned Business Ownership Perce

Change Compared to All U.S. Busines

2002 to 2007 2002 to 2007

AIAN-owned

% change for 

AIAN-owned 

fi

% ch

firms in 2007 U S 

(number)

firms,

2002 – 2007

U.S

2002 

All firms1 236,967 18 

Employer firms 23,704 - 3* 

Nonemployer

firms 213,263 21 

1 Includes firms with paid employees and firms with no paid employee

Note: Detail may not add to total because of rounding. 

www.census.gov/econ/sbo Marc

*The change in AIAN-owned employer firms is not statistically different t
American Indian- and Alaska Nativ

Owned Business Revenues CompareOwned Business Revenues Compare

the National Rates: 2002 to 2007

AIAN-owned 

firms’ sales 

and receipts

i 2007

% change for 

AIAN-owned 

firms’ sales and 

receipts

% ch

all U.

sale

in 2007 rec

($ billions)

receipts,

2002 –2007

rec

2002 

All firms1 34 28 

Employer firms 28 25 

Nonemployerfirms 

7 41 

1 Includes firms with paid employees and firms with no paid employee

Note: Detail may not add to total because of rounding.

www.census.gov/econ/sbo Marc
American Indian- and Alaska Nativ

Owned Businesses and Their PropoOwned Businesses and Their Propo

of All U.S. Firms by Employer Stat

2002 to 2007 2002 to 2007

% of U.S. businesses that are 

AIAN

-owned

Year

2007

Year

2002

All firms1 0.9 0.9

Employer firms 0.4 0.4

Nonemployer

firms 1.0 1.0

1 Includes firms with paid employees and firms with no paid em

www.census.gov/econ/sbo Marc
Distribution of Firms by

Receipts Size of Firm: 2007

%

of AIAN-

%

of 

all 

Receipts size

% o

owned firms

%o a

U.S. firms

Less than $50,000 78 65

$50,000 to $99,999 9 10$100,000 to $249,999 7 10$250 000 to $499 999 $250,000 to $499,999

3

5

$500,000 to $999,999 2 4$, , 1 000 000 or more 2 5

Note: Detail may not add to total because of rounding.

www.census.gov/econ/sbo Marc
Distribution of Emplo

yer Firms

by Employment Size of Firm: 200

% of AIAN % of all Employment size% of AIAN

-

owned firms

% of all

U.S. firms

0 to 4 employees1 66 61

5 to 9 employees 18 1810 to 19 employees 9 1120 to 49 employees 20 to 49 employees

5

7

50 employees or more 2 4

1 Includes firms with payroll at any time during 2007 Employme

Includes firms with payroll at any time during 2007. Employme

the number of paid employees during the March 12 pay period

Note: Detail may not add to total because of rounding.

www.census.gov/econ/sbo Marc
Industries With the Largest Receip

For American Indian American Indian

- and Alaska Na

and Alaska Na

Owned Firms: 2007

%

Business sectors

Firms 

(number)

% of all 

AIANfirms

Sales and 

receipts 

($ billions)

%

s

r

Total for all sectors 236,967 100 34 

Construction 37,697 16 8 

Retail trade 19,838 8 5 

Wholesale trade 4,854 2 4 

Manufacturing 4 972 , 2

3

Professional, scientific,

and technical services 23,895 10 3 

www.census.gov/econ/sbo Marc
Number of American Indian- and

Alaska Native Alaska Native

-Owned Firms for Owned Firms for

Selected States: 2007 

States

AIANowned 

firms in 

2007

% o

f

firms in 

state that 

AIAN

% ch

for A

owne

2007 in s

(number)

are AIAN

-

owned

in s

2002 

Alaska 6,852 10 

California 45,629 1 New Mexico 8,313 5 New York New York 13 113 , 1 Oklahoma 21,194 6 

Texas 19,057 1 

www.census.gov/econ/sbo Marc
Number of American Indian- and

Alaska Native Alaska Native

-Owned Firms for Owned Firms for

Selected Counties: 2007 

AIAN % h

Selected counties and 

e

quivalent areas 

AIAN

-

owned 

firms in 

2007

% of firms 

in county 

that are 

AIAN

% c

h

for A

owne

in co

q 2007

(number)

AIAN

-

owned

in co

2002 

Anchorage, AK 1,522 6 5

Los Angeles, CA 14,195 1 Maricopa, AZ 3,789 1 7New York NY New York, NY 1 848 , 1

-

Oklahoma, OK 2,695 4 

Tulsa, OK 3,321 5 4

www.census.gov/econ/sbo Marc

*The change in AIAN-owned firms is not statistically different than zero
Number of American Indian- and

Al k N ti Alas

ka 

N

ative-O d Fi f Owne

d Firms 

f

o

r

Selected Cities: 2007 

Selected cities and

e

quivalent areas

AIANowned 

firms in 

2007

% of firms in 

it th t

% c

for 

ow

firms 

q 2007

(number)

city th

a

t are 

AIAN-owned

firms 

2002 

Albuquerque, NM 1,124 3 

Anchorage, AK 1,522 6 

Gallup, NM 2,127 52 -

Los Angeles CA Los Angeles, CA 6 276 , 1

New York, NY 8,749 1 Oklahoma City, OK 1,968 3 

www.census.gov/econ/sbo Marc

*The change in AIAN-owned firms is not statistically different than zero
Accessing SBO Results

• SBO Web site: www.census.gov/econ• For access to prepackaged data prod

and the ability to build custom tables, and the ability to build custom tables, 

American FactFinder (AFF), the CensBureau’s online, self-service data acctool at tool at www factfinder census gov www.factfinder.census.gov

www.census.gov/econ/sbo Marc
SBO Release Schedule

Data Release 

Preliminary Company Summary - Estimates of 

B i O hi b G d E h i i Business 

Ownership 

by 

Gen

der, 

E

t

h

nicity, 

Race, and Veteran Status 

July 

Hispanic-Owned Businesses September 2

Women-Owned Businesses December Black-Owned Businesses February American Indian- and Alaska NativeOwned Businesses March Native Hawaiian

- and Other Pacific Islander

-

A i

Native Hawaiian and Other Pacific Islander Owned Businesses

Apri

Asian-Owned Businesses April 

www.census.gov/econ/sbo Marc
SBO Release Schedule

D t Rl 

(continued)

D

a

t

a

R

elease 

Veteran-Owned Businesses May 

Company Summary Company Summary June 

June

Characteristics of Businesses June Characteristics of Business Owners June 

www.census.gov/econ/sbo Marc
U.S. Department of Commerce 

Minority Business Development Agency

Number of Firms Owned bAmerican Indians and NatAlas a s o t e ise ka

n

s

on 

th

e Rise

But Job and Wealth Creation FMaterialize

Donald Chapman, Senior Advisor on Native American Affairs
The Big Picture

The American Indian and Alaskan Native business community shows some growtThe American Indian and Alaskan Native business community shows some growt

true economic potential is still unrealized. 

In 2007, there were about 237,000 firms generating $34.4 billion in gross receiptemploying 184,000 paid workers. Between 2002 and 2007, American Indian and Alaskan Native -owned firms outpgrowth of non-minority firms by 28 percent in gross receipts and by 18 percent in of firms.American Indian and Alaskan Native firms are found in all 50 states and the DistrAmerican Indian and Alaskan Native firms are found in all 50 states and the Distr

Columbia.

The fast growing American Indian and Alaskan Native population increased by 9% this period, compared to only 1 percent growth for non-minorities.The American Indian population had an estimated buying power of $64.7 billion ilarger than the purchasing power of countries such as Kenya ($63.7 B), Burma ($Slovenia ($55.8 B), and Costa Rica ($48.5 B). It is important to note that the Survey of Business Owners data includes businessIt is important to note that the Survey of Business Owners data includes business

by Native Americans but not tribally-owned businesses, which is a sizable share oeconomic output of Indian Country. 
American Indian and Alaskan Native-Ow

Firms Compared to Non Firms Compared to Non

-Minority Minority

-Owned 

Owned 

28%

21%

18%

20%25%30%

3 6%

0.03%

9% 9%

1% 5%

10%15%

-3.6%

-5%

0%

Gross Receipts Employees Number of Firms Population

American Indian and Alaska Native Non-Minority
Upside of $1 Million Plus Firm

While smaller in number, American Indian and Alaskan Native firms wof $1 million or more generate a much larger percentage of all revenupaid employment than firms with receipts under $1 million. American Indian and Alaskan Native firms with receipts of $1 million orepresented 2 percent of all the American Indian and Alaskan Native generated 67 percent of all American Indian and Alaskan Native firmsreceipts and 63 percent of all their paid employment. There were 4,599 American Indian and Alaskan Native firms which gegross receipts of $1 million or more in 2007. These firms generated cgross receipts of $23 billion and employed 116,759 workers.Average gross receipts of American Indian and Alaskan Native firms gsales of $1 million or more grew by 5 percent from $4.7 million p2002 to $5.0 million in 2007.
American Indian and Alaskan Native-Ow

Firms With $1 Million and Above in Sa

98%

100%

67%

33%

63%

37%

60%80%20% 2%40%

0%

Number of Firms Gross Receipts Paid Employees

American Indian & Alaska Native (AIAN) Firms ($1 million and above) AIAN Firms (U
Entrepreneurial Parity

At MBDA, we measure entrepreneurial parity of minority-owned firms. Unfortuis still an entrepreneurial parity gap between American Indian and Alaskan Nati(which represent 0.9% of classifiable U.S. firms) and the share of the American Alaskan Native adult population, which is 1.5 percent of the U.S. adult populatioIf American Indian & Alaska Native firms’ gross receipts reflected the 2007 aduIndian & Alaska Native population share, receipts would have amounted to mor

billion—about $126 billion more than the actual figure. 

P id l t ld h t t l d l 829 000 P

aid employmen

t would

have 

to

tale

d nearly 829,000—

ab t 4 5 ti th t 

bou

t

4.5 times the actu

employment.

The number of American Indian & Alaska Native firms would have been over 38- nearly 147,000 additional firms.More effort should be dedicated to grow and expand American Indian & Alaska in size and scale.
Entrepreneurial Parity Still Unrealized fo

A i I di d Al k N ti B Amer

ican 

Indian an

d Alas

kan 

Native 

Bu

Gross Receipts (in $ trillions) Paid Employment (in millions) Num

$200 $161 838

800

1,000

237

400 

Gross Receipts (in

$ trillions) Paid Employment (in millions) Num

$34

$65

$50

$100$150

184

200400600800 237

100

200300

$0

2007 Act ual 2007 Parit y 2009 AIAN

Buying Power

0

200

2007 Actual 2007 Parity

0

2007 Actual 
The Downside

Whil A i I di d Al k N ti While American Indian and Alaskan Native-owned fi i rms grew in gr

receipts by 28% and in number of firms by 18%, their paid employdecreased or remained stagnant at best.

Alth h i t f A i I di d Al k Although average gross receipts for American Indian and Alaskan 

owned firms increased to $145,121, is still far below that of non-mowned firms ($490,000).

O l 10% f ll A i I di d Al k N ti Only 10% of all American Indian and Alaskan Native-owned fi 

rms

employees. MBDA’s goal is to help grow those in emerging industthose with the potential for size and scale and encourage job creatthese firms.

As the American Indian and Alaskan Native population increases in the success of this business community is equally critical for job cr
Minority-Owned Firms Gross R

Average Gross Receipts Average Gross Receipts

A i I di d American Indian an

d Mi it

d

N i it

Alaskan Native-owned 

businesses

Minority-owne

d

businesses

Non-minorit

busines

$145,000 $179,000 $490,
The Future

MBDA is committed to making sure the growth and MBDA is committed to making sure the growth and

competitiveness of the minority business community coto be a national priority.

MBDA i ti th f d ti f th t ti MBDA is creating the foundation for the next generation 

million minority-owned firms capable of employing the gminority population, expanding our tax base and securiposition as a global leader.

Last year, MBDA assisted minority owned firms in accesmore than $3 billion in contracts and financings, creatinthan 3,000 jobs. than 3,000 jobs.To grow more minority-owned firms to size and capacitencourages minority businesses to consider growth by mand acq isition joint ent es and st ategic pa tne shipand acquisition, joint ventures and strategic partnership
Contacting MBDA Public Affai

For more information, please contact

E il ma : publi ff i @ bd blic_affairs

@

mbda.

gov

Phone: 202.482.6272
Questions?

www.census.gov/econ/sbo Marc
Key Upcoming Press Events fr

Key Upcoming Press Events fr

the U.S. Census Bureau

• March 22 Technical Webinar on 2010 

Census Data Products

• March 24 March 24 2010 Census Operational Press 2010 Census Operational Press

Briefing

• April 5 Webinar on 2007 Business 

Ownership Data for Native HawaiiaOwnership Data for Native Hawaiiaand Other Pacific Islander-Owned Businesses

• A il 26 April 26 W bi 2007 B i W

ebinar on 2007

Business 

Ownership Data for Asian-Owned Businesses

www.census.gov/econ/sbo Marc
Contact Information Contact Information

• U.S. Census Bureau

Public Information Office Public Information OfficePhone: 301.763.3030

• National Con

gress of American Indians

Phone: 202.466.7767

• Minority Business Development Agency

P bli u c Aff i Offi Aff

airs Office

Phone: 202.482.6272

www.census.gov/econ/sbo Marc