Edward A. David

Black-led employers make up just 0.1% of UK small and medium sized businesses.

By Edward David and Joel Byman for Oxford Answers.

Roni Savage is many things to many people: founder of Jomas Associates, an award-winning engineering firm, adviser to the Federation of Small Businesses, a proud mother of three sons, and one of our outstanding graduates from the Goldman Sachs 10,000 Small Businesses programme which we deliver here at Saïd Business School.  

Roni started her company in 2009 in Uxbridge in London and today it employs over 25 people with satellite offices across the UK. ‘I have seen my company grow in strength and size’ she says ‘and it is so rewarding to not only see the company succeed but also to see the impact the company has through job creation and development opportunities in the areas we are based in.’ 

But as a British businesswoman of Nigerian descent, Roni is also one of the very few Black entrepreneurs in the UK and with that comes a number of additional hurdles. She is seen as a role model for Black business owners and has spoken in media interviews about how advocating for those disadvantaged by their race or gender is a joy. However, for Roni standing out by simply looking different is a real challenge. She told us that ‘entrepreneurship can often be a lonely endeavour without a safety net, and having a network of peers is invaluable. When you walk into a room and no-one else looks like you or has similar lived experiences, that makes it even lonelier and creates a bigger hurdle to overcome.’ 

Indeed, the UK’s small business landscape is overwhelmingly white. According to the latest Government figures, just 6% of small to medium sized enterprises (SMEs) that employ at least one person are led by people of minority ethnic groups (MEG). Of them, only 11% are run by Black entrepreneurs. That’s an estimated 9,321 Black-led employers out of 5.6 million SMEs in total – just 0.167% of the SME population.

This is an astonishing figure, one that underscores not only the business but also the moral imperatives surrounding racial inclusion among SMEs. Drawing on the latest research and our experience delivering education programmes supporting diverse communities, we offer three items that should top the policy agendas of small business advocates.