Fueled by an entrepreneurial spirit that’s reshaping the American economy, Hispanic-owned businesses are not just thriving but are a dominant and accelerating force, as evidenced by their explosive 34% growth from 2017 to 2021—a rate that dramatically outpaced the 6% growth of all U.S. firms.
Key Takeaways
- In 2021, there were 4.65 million Hispanic-owned businesses in the US, representing 12.5% of all businesses
- Hispanic-owned firms increased by 34% from 2017 to 2021, outpacing overall business growth of 6%
- 84% of Hispanic-owned businesses are non-employer firms as of 2021
- In 2021, Hispanic-owned businesses generated $800 billion in revenue
- Hispanic firms contributed 12% to US private sector payrolls in 2021
- Average revenue per Hispanic-owned employer firm was $1.2 million in 2021
- Hispanic-owned firms employed 3.2 million workers in 2021
- Hispanic businesses paid out $94 billion in annual payroll to 3.2 million employees in 2021
- Average payroll per Hispanic employee was $29,400 in 2021
- Hispanic-owned businesses grew 44% from 2012 to 2021
- Employer Hispanic firms surged 54% from 2017 to 2021
- Revenue of Hispanic firms rose 76% from 2017 to 2021
- 65% of Hispanic owners are under 55 years old in 2021
- 42% of Hispanic business owners have college degrees in 2021
- 38% of Hispanic owners are immigrants
Hispanic-owned businesses are growing rapidly and making huge economic contributions.
Business Counts and Ownership Rates
- In 2021, there were 4.65 million Hispanic-owned businesses in the US, representing 12.5% of all businesses
- Hispanic-owned firms increased by 34% from 2017 to 2021, outpacing overall business growth of 6%
- 84% of Hispanic-owned businesses are non-employer firms as of 2021
- Texas had the highest number of Hispanic-owned businesses at 969,801 in 2021
- California followed with 928,512 Hispanic-owned firms in 2021
- Florida ranked third with 587,265 Hispanic-owned businesses in 2021
- In 2012, Hispanic-owned businesses numbered 3.3 million, up 43% from 2007
- Hispanic women own 1.3 million businesses, comprising 28% of all Hispanic-owned firms in 2021
- 16% of Hispanic-owned businesses are employer firms with paid employees in 2021
- New Mexico had the highest share of Hispanic-owned businesses at 32.3% of all firms in 2021
- Hispanic-owned businesses grew fastest in North Dakota by 70% from 2017-2021
- In 2020, Hispanic-owned firms reached 4.7 million amid pandemic resilience
- Puerto Rican-owned businesses numbered 142,000 in 2012
- Mexican-American owned firms dominated with 84% of Hispanic ownership in 2012
- 2.35 million Hispanic-owned non-employer businesses existed in 2021
- Hispanic-owned businesses accounted for 14% of US GDP contribution in certain sectors in 2021
- Growth in Hispanic-owned firms was 8% annually from 2012-2021
- 1.1 million Hispanic-owned businesses in construction industry in 2021
- Retail trade saw 528,000 Hispanic-owned firms in 2021
- Professional services had 452,000 Hispanic-owned businesses in 2021
- In 2007, Hispanic-owned firms totaled 2.3 million
- Cuban-owned businesses numbered 227,000 in 2012
- Dominican-owned firms reached 52,000 in 2012
- 10.5% of all US employer businesses were Hispanic-owned in 2021
- Hispanic-owned firms in admin/support services: 312,000 in 2021
- Food services/beverage had 178,000 Hispanic-owned businesses in 2021
- Other services sector: 412,000 Hispanic firms in 2021
- Health care/social assistance: 289,000 Hispanic-owned in 2021
- Real estate/rental: 378,000 Hispanic firms in 2021
- Hispanic-owned businesses in NY state: 512,000 in 2021
Business Counts and Ownership Rates Interpretation
With over 4.6 million businesses proving that hustle runs in the family, Hispanic-owned firms are not just growing at a blistering pace but are fundamentally reshaping the American economy, all while 84% of them are still doing the heavy lifting without a single employee.
Demographics and Characteristics
- 65% of Hispanic owners are under 55 years old in 2021
- 42% of Hispanic business owners have college degrees in 2021
- 38% of Hispanic owners are immigrants
- Mexican-Americans represent 72% of Hispanic owners in 2021
- Puerto Rican owners: 12% of total Hispanic businesses
- 28% of Hispanic firms are women-owned, highest among minorities
- Average age of Hispanic owner: 47 years in 2021
- 56% of Hispanic owners are bilingual English-Spanish
- Urban areas host 88% of Hispanic businesses
- 22% of Hispanic firms are second-generation family-owned
- Top industries for young Hispanic owners (under 35): tech and retail, 45% share
- 15% of Hispanic owners are veterans
- 31% of Hispanic firms located in high-poverty areas
- Central/South American owners: 9% of Hispanic total
- 67% of Hispanic owners self-identify as entrepreneurs primarily
- Bilingual owners report 20% higher revenue growth
- 48% of Hispanic owners have 10+ years business experience
- Gen Z Hispanic owners tripled 2018-2022
- 76% of Hispanic firms are sole proprietorships
- Family involvement in 62% of Hispanic businesses
- 34% of owners from households earning under $50k prior to business
- Cuban-Americans have highest average firm receipts among subgroups
- 41% of Hispanic owners multitask multiple businesses
- Rural Hispanic owners skew older, average 52 years
Demographics and Characteristics Interpretation
Fueled by immigrant hustle and bilingual agility, America's youngest and fastest-growing entrepreneurial force is rewriting the startup playbook from city storefronts to tech startups, often while running multiple ventures and leaning on family ties.
Employment and Workforce
- Hispanic-owned firms employed 3.2 million workers in 2021
- Hispanic businesses paid out $94 billion in annual payroll to 3.2 million employees in 2021
- Average payroll per Hispanic employee was $29,400 in 2021
- Construction Hispanic firms employed 1.05 million workers in 2021
- Admin/support services Hispanic employment: 728,000 in 2021
- Food services/beverage Hispanic jobs: 512,000 in 2021
- Retail trade Hispanic employment: 458,000 in 2021
- Other services Hispanic workers: 412,000 in 2021
- Professional/scientific services: 389,000 Hispanic-employed in 2021
- Real estate/rental/lease: 312,000 employees in Hispanic firms 2021
- Health care/social assistance: 298,000 Hispanic firm jobs in 2021
- Wholesale trade: 215,000 employees in Hispanic businesses 2021
- Transportation/warehousing: 189,000 Hispanic firm workers 2021
- Manufacturing: 165,000 employees in Hispanic firms 2021
- Accommodation: 142,000 jobs in Hispanic businesses 2021
- 55% of Hispanic-owned employer firms had fewer than 10 employees in 2021
- 22% of Hispanic firms employed 10-19 workers in 2021
- Only 1.2% of Hispanic firms had 500+ employees in 2021
- Hispanic firms in Texas employed 912,000 workers in 2021
- California Hispanic businesses jobs: 875,000 in 2021
- 68% of employees in Hispanic-owned firms were Hispanic in 2021
- Female-owned Hispanic firms employed 450,000 workers in 2021
- In 2017, Hispanic firms employed 2.9 million with $78 billion payroll
- Finance/insurance Hispanic employment: 112,000 in 2021
- Educational services: 89,000 jobs in Hispanic firms 2021
- Arts/entertainment: 78,000 Hispanic firm employees 2021
Employment and Workforce Interpretation
Hispanic-owned businesses, often operating with the humble tools of a taco truck and a construction crew, are quietly propping up the entire American economy for 3.2 million people to the cheerful tune of $94 billion a year.
Growth Rates and Trends
- Hispanic-owned businesses grew 44% from 2012 to 2021
- Employer Hispanic firms surged 54% from 2017 to 2021
- Revenue of Hispanic firms rose 76% from 2017 to 2021
- Payroll growth in Hispanic firms: 63% increase 2017-2021
- Employment in Hispanic businesses up 58% from 2017-2021
- Hispanic firm growth outpaced white-owned by 3x from 2012-2021
- During COVID-19, Hispanic businesses declined only 5% vs 22% overall in 2020
- Hispanic-owned startups increased 25% yearly 2018-2022
- Second-generation Latinos started firms at 1.5x rate of first-gen 2021
- Tech sector Hispanic firms grew 92% 2012-2021
- E-commerce Hispanic businesses up 120% since 2019
- Hispanic women-owned firms grew 55% 2017-2021
- Construction Hispanic growth: 62% 2017-2021
- Food services recovery: 45% growth post-2020
- Projected Hispanic firm count to hit 6 million by 2025
- Survival rate of Hispanic startups: 82% after year 1 vs 79% average
- Hispanic firms in renewables grew 78% 2015-2021
- Exporting Hispanic firms up 35% 2017-2021
- Franchised Hispanic businesses increased 28% 2019-2022
- Digital adoption in Hispanic firms: 65% growth 2020-2022
- Rural Hispanic firm growth: 48% 2017-2021
- Urban Hispanic growth: 52% 2017-2021
- Veteran-owned Hispanic firms up 22% 2017-2021
Growth Rates and Trends Interpretation
Hispanic-owned businesses aren't just growing; they're sprinting past benchmarks, weathering storms with startling resilience, and quietly building an economic powerhouse that laughs in the face of conventional downturns.
Revenue and Economic Impact
- In 2021, Hispanic-owned businesses generated $800 billion in revenue
- Hispanic firms contributed 12% to US private sector payrolls in 2021
- Average revenue per Hispanic-owned employer firm was $1.2 million in 2021
- Construction sector Hispanic firms generated $172 billion in 2021
- Retail trade Hispanic businesses receipts totaled $141 billion in 2021
- Administrative services Hispanic firms earned $104 billion in 2021
- In 2017, Hispanic-owned firms had $470 billion in receipts
- Hispanic-owned employer firms paid $94 billion in payroll in 2021
- Food services Hispanic businesses generated $48 billion revenue in 2021
- Professional services Hispanic firms receipts: $112 billion in 2021
- Real estate Hispanic-owned revenue: $98 billion in 2021
- Health care Hispanic firms: $72 billion receipts in 2021
- Other services Hispanic revenue: $65 billion in 2021
- Hispanic businesses contributed $2.8 trillion to GDP over 2012-2021 period
- In 2021, top 1% Hispanic firms generated 25% of total Hispanic revenue
- Manufacturing Hispanic firms receipts: $55 billion in 2021
- Wholesale trade Hispanic revenue: $82 billion in 2021
- Transportation Hispanic firms: $38 billion receipts in 2021
- Arts/entertainment Hispanic revenue: $22 billion in 2021
- Accommodation Hispanic firms: $31 billion in 2021
- Educational services Hispanic revenue: $18 billion in 2021
- Waste management Hispanic receipts: $12 billion in 2021
- Mining/quarry Hispanic revenue: $8 billion in 2021
- Utilities Hispanic firms: $4 billion receipts in 2021
- Information sector Hispanic revenue: $25 billion in 2021
- Finance/insurance Hispanic receipts: $42 billion in 2021
Revenue and Economic Impact Interpretation
While some might still lazily view Hispanic-owned businesses as just taco trucks and construction crews, the $800 billion revenue and $2.8 trillion GDP contribution prove they are, in fact, the robust and diversified economic engine America has been casually sipping its café con leche from.
Sources & References
- Reference 1CENSUScensus.govVisit source
- Reference 2ADVOCACYadvocacy.sba.govVisit source
- Reference 3LEHleh.stanford.eduVisit source
- Reference 4GSBgsb.stanford.eduVisit source
- Reference 5FEDERALRESERVEfederalreserve.govVisit source
- Reference 6ENERGYenergy.govVisit source
- Reference 7TRADEtrade.govVisit source
- Reference 8FRANCHISEfranchise.orgVisit source
- Reference 9PEWRESEARCHpewresearch.orgVisit source