welcome back everyone between bells and baker machado and new york
as we continue to see the aftermath effect of the pandemic.
Many small businesses still feeling the pinch.
This is inflation and supply chain woes and labor shortages
continue to take a toll on economic conditions. So joining us now to discuss is
Palomo Palomo Rose President and Ceo of
the United States Hispanic business Council,
Javier is such a pleasure to have you here.
Thank you so much for joining us.
So according to the National Federation of Independent businesses,
51% of small businesses were not able to fill up job
openings and they grappled with finding a lot of quality labor.
What sort of unique challenges are small businesses facing right now,
Especially businesses of color?
Yeah, thanks for having me baker. I I appreciate it.
Um you know,
the small business community in the US is
is really grappling with a variety of challenges.
Keep in mind we're still reeling from, you know,
the covid pandemic that caused a shortage in the properly trained
types of individuals that we need to run our businesses.
It made it increasingly difficult for us
to maintain to hire and maintain those employees
uh coupled with, you know, supply chain disruptions that are still with us today,
coupled with an 8.5% interest rate when we're used to something around 1.81 point
nine we're now grappling with 8.5 inflation rate and now on top of that
we have skyrocketing energy costs.
So it's a, it's a very difficult time for America's small business community.
But you know,
we continue to push forward and continue to look for the better
opportunities and keep our businesses alive
in the american economy moving forward,
Javier.
I mean, so many labor shortages are impacting so many different industries.
I mean, we thought at the,
when the pandemic started to subside and we went back to the restaurants and the
problems with going to a restaurant, you thought, okay, it'll be a few months,
they'll hire some more people.
But those problems have continued to persist here.
Is there any sort of hope that the end
of the day that these labor shortages will subside?
You know, I think eventually we will see an end to this.
And listen, I have to tell you that, you know, I'm a lifelong democrat,
I'm a biden fan.
I,
you know, I believe in Uncle joe, I voted for Uncle joe.
I want to see him and his administration succeed because if
they do then America succeeds and we all move forward.
But the reality of it is, you know, at the United States Hispanic Business Council,
we pride ourselves on calling balls and strikes.
And right now this administration is really,
they've missed the mark in terms of handling this economy and the variety of
challenges that persist that ultimately are being
felt most by America's small business community,
you know, and the other part that sat in all of this,
Javier is optimism has really sort of gone down, small business owner.
optimism edged down for the fifth straight month, dating back in May, that is now,
the lowest point
ever recorded.
The sad part is is the unemployment rate is still is getting lower and lower.
I mean we're almost basically to where we were at before the pandemic.
So how do you sort of compartmentalize those two parts here?
Yeah, it's difficult.
You know,
there was a recent study that found that 83% of
small business owners believe that there is a recession coming.
Um and there were I think 550 different kinds
of businesses and 13 different industries that were polled.
And even with that 83% of them believing that the recession is coming,
83% of them believed that we will survive this,
we made it through the pandemic.
Listen, we're american entrepreneurs were optimistic by nature,
we wouldn't be small business owners if we weren't optimistic,
but it is a real challenge right now.
And as I said, it's a witch's brew of you know,
interest rates skyrocketing energy costs,
you know, continuing supply chain challenges,
we will push through,
but we really need an administration that understands our
challenges and is helping us deal with them in,
you know, in real time fashion.
Well, Javier, let's look at this,
this interesting nugget that I look if you're looking for optimism,
I love this according to the small business administration Latinos are
opening more small businesses than anyone else in this country.
What sort of causing that growth because to me
that seems like an amazing sort of opportunity here
it is. And and thank you for calling that out.
You know what at the United States Hispanic Business Council.
We pride ourselves on advocating on behalf of men
and women who happen to be of hispanic descent.
But we never forget that were first and foremost american businesses.
Um, so every tax bill, we pay every job we create, every product we manufacture.
Every service we provide goes to benefit America's uh, you know, economy,
We are the fastest-growing segment of the American small business community.
We're growing at a rate of 3-1 when compared to the general market,
we start up three ventures.
Um, to everyone venture starred, started up by our, by our counterparts.
And to this day,
America small business community is the very backbone of the American economy.
We create 67% of new jobs in this nation.
So as our small business community goes, so goes the nation.
And I'm very happy that the small business administration and frankly the biden
administration has recognized the power and the
potential of America's hispanic business community.
Yes, so well said Javier is such a pleasure to have you here,
Javier palomarez is the president and Ceo
of the United States Hispanic Business Council.
Thanks again for your insight on all this, Javier