Sean and Kenny Salas with Camino Financial member. Concept: Camino Financial Latinx Small Business Survey.
By: camino
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Camino Financial US Latino Small Business Survey – Q1 2020

Camino Financial’s U.S. Latinx Small Business Survey provides insights into macroeconomic trends within the U.S. Latinx small business segment, predominantly those operating in low-to-moderate income areas and/or owned by first and second-generation immigrants.

Camino Financial’s loan application data informs the Survey. It is released quarterly, giving an evolving snapshot of change over time and insight into macroeconomic trends within the larger U.S. economy.

For more information, data, and background, contact [email protected].

 


Q1 2020

Summary: Immigrants and undocumented business owners have been disproportionately impacted by the lack of access to credit and access to stimulus programs in the face of the COVID-19 crisis. Given the scale of this community, this has implications for the U.S. economy as a whole. 

The U.S. Latinx Small Business market is large and significant:

  • Approx 11 million undocumented immigrants, mostly Latinx, in the U.S. 
  •  $31.9 billion in U.S. tax receipts without benefits in return
  •  Approx 810,000 businesses owned by undocumented immigrants
  •  Businesses owned by undocumented immigrants contribute $80 to $120 billion in sales per year (est.)

Key Insights

  • Immigrants and undocumented business owners have been disproportionately impacted by the lack of access to credit and access to stimulus programs
  • Q1 2020 annual revenue for undocumented applicants decreased by 11% compared to Q4 2019, and 22% compared to Q1 2019
  • Rise in first-time borrower applicants in Q1 2020, reflecting 40% of all applicants in the quarter compared to 35% in Q4 2019
  •  No Credit applicants surged by 14% to 40% of Latinx applications

This Survey encompasses data from Q1 2020. It is derived from 27,793 business loan applications to Camino Financial. 

 


 

Camino Financial uses proprietary A.I. software to aggregate data and build machine learning models to make credit decisions for thin-file, cash-based microenterprises. These unique capabilities give Camino Financial exclusive insights into the understudied Latinx business market.

For more information, data, and background, contact [email protected].

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