The United States is a great place of opportunity with abundant resources for new and upcoming entrepreneurs. This is a great chance for Spanish entrepreneurs looking to start up with their business ideas.
As of the Census 2022 by the government of the U.S., there are 63.7 million Hispanic people in the U.S. and 19.1% of the total population. This means that the Spanish entrepreneurs can connect with a large and diverse community and bring forth business ideas that solve their particular issues. Moreover, an article by Coloradobiz has explained how the Hispanic entrepreneurs drive the Biden-Harris Administration’s Small Business Room and the Spanish startup market is thriving lately because of the very talented community.
| Example of a Hispanic Startup That Is A Big Name Today Dominique Cosmetics Christen Dominique launched her beauty brand, Dominique Cosmetics, in 2018. She started as a YouTuber with her own channel in 2009 and has over four million subscribers. She is of Mexican-American and Guyanese descent. Dominique Cosmetics is a cruelty-free and vegan beauty brand with a mission to create products that will empower people who choose her products in their daily lives. |
If you’re one such Spanish entrepreneur starting a business, for one – don’t wait and just act. The key to a successful business is “Grind and Get Things Done”.
Check out some of the tips and ideas to guide you on your entrepreneurial journey and get started.
Identify Your Niche Audience
It is important when starting your business to discover your niche. You can find what business idea would work and help your community.
For example, Mielle Organics by Monique Rodriguez was made to solve hair problems of the black and Hispanic communities as they have very different hair textures. However, many of the products are for scalp cleaning thus anyone can use them safely.
Besides finding the perfect product and niche, it is very important to incorporate both the English and Spanish language so you can have a wider network of audiences that can explore your business.
Some Ideas to Move Your Business Into:
- Food/Restaurant: You can fill gaps in the food market and cater to your community by selling traditional Hispanic dishes made using Hispanic spices.
- Language Services: You can work in the education field or build a small business which can be based on being an interpreter for people who can’t understand Spanish, interpreting the language, and giving tutoring services for Spanish and English learners.
- Handcrafted Goods: Sell handmade products like jewelry, textiles, or ceramics that reflect Hispanic artistry.
- Event Planning: You can build a business of event planning for the Hispanic community and its cultural events. This can be to organize weddings, quinceañeras, and cultural celebrations with a focus on traditional customs.
Leverage Your Bilingual Advantage
The key to a successful business is fulfilling the gaps in the society’s needs and wants. One distinct advantage that Spanish speakers have is the ability to communicate with a wide audience, which can make everyone feel inclusive. This includes people who speak English, Spanish, and Spanglish (bilingual: as they can communicate in both languages).
Tips for Bilingual Marketing:
- Create a social media presence that presents content for both Spanish and English communities and engages with a diverse audience.
- You can use platforms like Facebook, Instagram, and TikTok to enhance the scope of marketing area and get the most coverage in numbers.
- You should create a bilingual website that caters to both communities and ensures access for both on equal terms.
- You can also create targeted ads for your market. You can set parameters to your ads and cater specifically to the Hispanic community and English community separately –wisely distributing your marketing budget and reaching a higher number of the right audiences – being Hispanic audiences.
One such example of a business in the U.S. offering inclusivity and leveraging the usage of providing bilingual services is with Cox. Cox has a Spanish Cox servicio al cliente 24 horas channel for the Hispanic/Latino community in the United States.
Though it is not Hispanic-owned, it makes the community feel heard and listened to by providing clear and direct services in the Spanish language.
Develop a Business Plan
The second and most important after the basics would be to drive out a business plan. This plan is like a blueprint for your business for starting with baby steps. This document will have an outline of your goals, the aim, mission, target market, the budget needed, competition analysis, and strategies for growth.
Your business plan must be something that can be handed over to any person and they will understand just what you want to achieve. It should be that self-explanatory.
Some Key Points to Add
A business plan can see to become overwhelming when you start. But since it is a crucial step, you must push the stress out and get this done. Here are some questions to answer in your proposal for each heading and create a convincing business map to success:
Business Description
- What will your business be about?
- How does your business stand out?
Market Analysis
- Who are your competitors and how do they operate?
- What is the market like?
- What gaps are there in the market you’ve chosen to target? For example, your products could be for black women with curly hair.
Marketing Strategy
- How will you attract the customers and retain them?
- What marketing strategy will you use? Will you cater to Spanish people or people who speak Spanglish?
Financial & Cost Plan
- You will need to determine how much you can invest.
- What will be the pricing of your products or services?
- Determining the breakeven point and the revenue to expectations.
Understand the Legal & Financial Aspects
The next point to consider after development of the business plan would be to understand the legal and financial aspects of starting a business. Business startups should ensure that the legal and financial regulations are met to build a successful business in the US.
Key Steps to Take:
- Get Your Business Registered: Choose a business name and structure (e.g., sole proprietorship, LLC) and register it with your state.
- Get Important Legal Permits: Obtain licenses and permits specific to your industry.
- Open a Business Bank Account: Keep your personal and business finances separate.
- Track Your Expenses: Use accounting software to manage your budget and file taxes accurately.
- Consult a Lawyer or Accountant: Seek professional advice to navigate complex legal and financial matters.
Understanding these requirements can help you avoid potential setbacks and ensure your business operates smoothly.
Start Small and then Scale Gradually
It is important to understand that when doing a business, unless you have free capital, you can’t jump all in. Just like when you check the temperature of the pool water to determine what shock it will give. It is testing the waters that make it a smart venture.
Some ideas that will make for a small business breakthrough:
- Freelancing your skills, such as graphic design, project management, accounting, etc.
- Opening a Shopify store to sell your art, handmade products, and even services like counseling.
- Establishing a small business online, selling and advertising through organic marketing on Instagram. This will test the market for you too.
- Running a small food business that caters to selling baked goods at small stores or the mart. This can be done at home too.
- Over-handling short tasks such as cleaning the driveway, gardening, personal training, and other tasks with minimal overheads.
Leverage the Power of Networking
When you establish a business, it is also important to engage socially and learn from industry leaders or other business owners. This can provide you with valuable lessons and do’s and don’ts of doing a business. This saves you from a lot of risk too.
Networking events are created to enhance the business mindset and motivate individuals that have been looking to make their ideas a reality or business owners looking to power up their businesses.
How Can You Network?
- You can participate in local trade shows, markets, and networking events.
- You can join online and local communities that host networking events live or online.
- You can collaborate with others, such as partnering with like-minded individuals.
All in all, a strong network can provide you with valuable and applied strategies, get some funding referrals, and get encouragement to grow your business.
Embrace the Technology
Investing in technology tools can be a game changer for a business. It requires a hefty investment of course but has long-term benefits if taken up. Implementing tech tools is also a great option to stream your operations, market your brand, and reach new customers.
Some Tech Options To Invest In Are:
- Point of Sale Systems: Such as Square or Clover
- E-commerce Platforms: Shopify, WooCommerce, or Amazon
- Social Media Management Tools: With Hootsuite, Buffer, and others
- Customer Relationship Management (CRM): Like HubSpot or Zoho.
Challenges Faced By Hispanic Owned Businesses
Some challenges that occur for the Hispanic community when starting a small business include:
- Greater barriers when accessing and gathering capital than other ethnic groups.
- Identity of poverty, inequity, and bias towards the behavior.
- Feelings of disparity in terms of credit outcomes from banks, such as when taking up loans.
Last Thoughts Before You Go
When you get to the idea of starting a business, don’t let that fire die. It is hard to start, especially as an ethnic minority, but with the rich Hispanic culture and ideas driven by it, you will find success – believe it.
You can leverage your cultural heritage, bilingual skills, and the resources available to create a business that serves your community or a wider audience. Remember though, nothing happens overnight. Stay focused, work hard, and turn your dream into reality.
Good luck (Buena suerte) on your journey as a Hispanic business owner. Remember your business has the power to inspire others and collaborate, especially with the vibrant tapestry of the Hispanic community in the United States.
