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The Million Dollar Wall
Brown to the Back

The funding gap is widest at requests of $1 million and above.

The True Data of Latino Owned.

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No Reason GivenUnder Two PercentThe Million Dollar WallThe Merit Answer$1.1 Trillion
21%of Latino entrepreneurs receive the full amount requested
40%of white entrepreneurs receive the full amount requested

A white applicant is 1.9 times as likely to walk out with everything they asked for. And the gap does not sit evenly across deal sizes — it is widest at requests of $1 million or more.

That threshold is not arbitrary. Under a million you are financing a job: a truck, a lease, a crew. Over a million you are financing a company that hires, scales and gets acquired. The wall sits exactly where the difference is made, which is why Latino-owned firms stay smaller — not because they aim lower.

What actually exists

Ask for the denial in writing, every time. A written reason is the difference between a market signal and a closed door — and you are entitled to one under the Equal Credit Opportunity Act for credit applications.

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En español

Menos del 2% del capital de riesgo en Estados Unidos va a negocios latinos — mientras hay 465,202 empresas latinas con empleados, que crecieron 44% mientras las empresas de dueños blancos disminuyeron.

Cuando piden financiamiento, solo el 21% recibe la cantidad completa, frente al 40% de los dueños blancos. Y cuando les niegan el préstamo, solo al 51% le explican por qué — frente al 87%.

No es falta de mérito: cuando sí reciben capital, el monto mediano es de $6 millones, por encima de la mediana nacional, y el 84% fueron rentables en 2024.

Pida siempre la negación por escrito. Bajo la Equal Credit Opportunity Act usted tiene derecho a una razón.

Source. Stanford Graduate School of Business, Latino Entrepreneurship Initiative, State of Latino Entrepreneurship, 2023–2025 reporting years. Figures are reproduced as published. Where two groups are compared, both numbers come from the same survey instrument in the same year, so the comparison is like for like. We publish the source so the arithmetic can be checked rather than trusted.