.
Undercapitalization gap
The undercapitalization gap causes include lags in wealth creation, low levels of personal savings, educational access and attainment difficulties, thin professional networks and low civic participation and government representation. Additionally, the blind spots of traditional credit risk assessments and lending scale limitations coupled with the tight knight asset management world also contributes.
On this point, I believe FinTech – as applied to capital access, alternative lending and microfinance – has the promise to partly level the playing field and get more players out on it. This is something I will explore further in subsequent articles.
US Small business, Latinos and global economy
Our global economic dominance and competitiveness is fueled by the catalytic and creative capabilities of our small business sector. There are about 28 million small businesses in the United States, over 3 million Latino owned.
These small enterprises have created 2 out of every 3 jobs in the last 25 years. The fastest growing demographic, Latinos, are and will continue to be a big piece of this story. Broader and more inclusive capital access should yield a more diversified economy, no matter what lens is used.
I look forward to sharing my thoughts on these issues and welcome your comments.
In closing we are moving in the right direction but we need to do more, and that is what we will explore next.
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A Latino Entrepreneur With A Vision