The partial government shutdown did not impact all businesses equally. As chief economist for the U. S. Black Chamber of Commerce, my research indicates black-owned businesses were hit harder than most. Many are located in states that receive substantial federal aid, such as Maryland and Virginia, and they tend to be in industries such as health care, administration, transportation, professional services and retail that are sensitive to any decline in federal spending. As a result, these companies can experience a double hit. I estimate there are roughly 1.9 million black-owned businesses in the United States, and they generated $131 billion in 2012. That suggests the monetary impact of the shutdown on their businesses to be $10 million per day. We saw the effects. National parks and federally owned museums closed. Tourism, a major industry in the D.C. area, was, as a result, negatively affected. This impact will be felt for some time, since overseas offices that give visas to foreigne...
Black And Minority Businesses Slammed By Government Shutdown, With Projected Losses Up To $450M - Black Enterprise Magazine
Contract and payment delays are among the largest setbacks hitting Black and other minority businesses amid the federal government shutdown. by Jeffrey McKinney. October 18, 2025 Black- and other minority-owned businesses are being slammed by the federal government shutdown, severely hindering their operating ability. Started on Oct. 1, the closure is on pace to be one of the longest in U.S. history. A new survey of those firms by the National Minority Supplier Development Council ( NMSDC ) shows they are being negatively impacted by economic weakness stemming from the shutdown. Simultaneously, the stoppage is projected to bring losses of between $400 million and $450 million for minority business enterprises (MBEs), despite when the government reopens, based on a new calculation by Creative Investment Research. That overall estimate includes $150 million in contract and payment delays, $125 million in reduced demand for business goods and services, $75 million in staffing reductions ...