Fuel for a Healthier Economy
The United States is a nation of immigrants. Newcomers to the countries find greater opportunities in the United States than their native countries offer. They want to create brighter futures for themselves and their children. They gain a lot from moving to the United States, but this is not a one-way street. The United States also gains. Many immigrants have an “entrepreneurial spirit.” They start businesses and create jobs. In fact, according to the US Small Business Administration (SBA) immigrants are 30% more likely to start a business than non-immigrants
Why are immigrants more likely to start their own business? Isn’t it already hard enough to get settled in a new country? Doesn’t the language barrier present as an obstacle to starting a business? This may actually contribute to the entrepreneurial spirit of immigrants. The language barrier may incentivize them start their own business, since they may experience difficulties finding jobs and easier to work for themselves.
But immigrants are already risk-takers. They have left prior lives to come to a new country. They begin again. They want better lives, and the American Dream offers them appreciated opportunities to build them for themselves and their children. In essence, they are well-suited to run businesses. They are self reliant, since they usually do not have extra money or a large network of business connections to fall back on. Often times, they depend on other family members to help out in their businesses.
The entrepreneurial spirit of newcomers to the United States contributes to their growing business. Immigrants come to the United States in search of a better life, and if they are unable to find job opportunities, they industriously take it upon themselves to start their own businesses.
Many businesses started by newcomers are reminiscent of those in their native countries. They try to take a piece of their culture and bring it with them to their new home. For example, an immigrant who starts his own restaurant may make food that is native to his home country. But businesses are not only limited to restaurants. Immigrant entrepreneurs make ventures in a myriad of industries including food, retail, clothing, and technology. This contributes to the richness and the diversity of American life.
Economically, the new businesses started by immigrants are extremely beneficial. They create much needed jobs, which makes them essential to the economies of major cities. Not only do these businesses create jobs, but their owners contribute to the US economy by buying American goods and paying taxes. According to the SBA, about 1.5 million immigrants own businesses in America. These businesses generate $67 billion in revenue! This helps money fuels the American economy.
In a recession, where money and jobs are scarce, small business owners drive the economy into motion by providing jobs and capital. We should welcome more, not less, legal immigration.