NEW ORLEANS – A new LendingTree study shows that for the third year in a row, New Orleans ranks among the top 20 U.S. cities with the highest percentage of Black-owned businesses representing 6.2%, an increase from 4.1% in the previous year’s report.
Among these businesses is Baldwin & Co. located in New Orleans’ historic Marigny neighborhood. Baldwin & Co. is a black-owned independent bookstore using the power of books to inspire social justice through reading. The bookstore hosts author talks and community gatherings serving as a a vibrant community hub and center for intellectual discovery. Baldwin & Co. also donates hundreds of books, foods, and beverages to impoverished communities.
Despite the increase in the number of Black-owned businesses in New Orleans, out of 19,062 total businesses in New Orleans, 1,185 are Black-owned which contrasts with the percentage of Black residents which constitue 37.8% of the city's population. The LendingTree report indicates this discrepancy demonstrates that Black entrepreneurs are underrepresented in the local business sector.
"Black History Month is a celebration of resilience, innovation, and the vital role Black Americans play in our nation’s economy,” said Matt Schulz, Chief Credit Analyst at LendingTree. “But it’s also a reminder of the inequalities that remain—particularly in business ownership, where access to capital and systemic barriers continue to pose significant challenges. Awareness is key to creating meaningful change."
Despite the prevailing underrepresentation, there is improvement not just in New Orleans, but across the U.S. Nationally, according to LendingTree, Black business ownership has seen a steady increase across the country, rising 22.2% year over year. In 2022, 3.3% of all U.S. businesses were Black-owned, up from 2.7% in 2021 and 2.4% in 2020. Among those, 39.1% are led by women, a significantly higher rate than the 22.3% of women-owned businesses overall.
One of these Woman-owned businesses in New Orleans is Loretta’s Authentic Pralines which has been in business for over 35 years. Loretta was the first African American woman to own and run a praline company in New Orleans and now has two locations as well as a recently opened HE-brews Coffeehouse in Fabourg Marigny. She also gives back to the community through a range of philanthropic programs.
Black-owned businesses in New Orleans and across the country cover a range of industries. Healthcare and social assistance lead at 25.6%, followed by professional, scientific, and technical services (13.6%) and transportation and warehousing (9.2%).
Atlanta continues to be a hub for Black entrepreneurship, leading the nation with 11.3% of its businesses being Black-owned. Fayetteville, N.C. (10.1%), and Virginia Beach, Va. (9.4%) round out the top three. By contrast, western metros such as Salt Lake City (0.8%) and San Jose, Calif. (1.0%) report the lowest percentages.
As Black History Month unfolds, advocates encourage local support for New Orleans’ Black-owned businesses, recognizing their role in economic development and community empowerment. While New Orleans has seen an increase in the number of Black entrepreneurs, disparities in ownership rates remain and underscore the need for continued investment.
