Gentrification involves the introduction of innovative business prospects. Bringing new and diverse residents to a community necessitates the emergence of novel businesses and the revitalization of existing ones, thereby fostering opportunities. To accomplish this, businesses old and new often need financial services from banking institutes. Banks provide small businesses with business-specific financial services that support small business owners in managing their money. Studies add that banks also provide business owners with checking account services, business credit, debit cards, merchant services, lines of credit, and business loans. When the right relationship exists, a business owner’s bank does more than hold their money. It serves as a vehicle to address immediate business needs and plan for the future. Banks are vital to the life and growth of small businesses. While banks have provided these services for new white-owned businesses entering gentrified communities, research has demonstrated that these offerings are altered when minority small businesses are engaged. The research has found that minority businesses experience various issues when seeking financial services from banking institutes. These issues include a higher percentage of loan denials as compared to their white counterparts and higher interest rates, to name a few. The research sought to gather data on these disparities, utilizing various studies from cities and states experiencing gentrification, linking this information with past and presenting banking practices towards minorities and their businesses. The research also sought to demonstrate the importance of minority businesses to their communities and the results when those minority businesses are denied financial services from banking institutes. Finally, the research demonstrates the tools and resources accessible to aid minority businesses in redeveloping and thriving as their communities undergo transformation during gentrification and in the subsequent phases.
| Published in | Science Journal of Business and Management (Volume 11, Issue 4) |
| DOI | 10.11648/j.sjbm.20231104.13 |
| Page(s) | 157-163 |
| Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
| Copyright |
Copyright © The Author(s), 2023. Published by Science Publishing Group |
Banking, Gentrification, Inequities, Minority Business, Lending Practices
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APA Style
King, R. (2023). Examining the Relocation of Minority Businesses and Its Relationship with Gentrification and the Banking Industry. Science Journal of Business and Management, 11(4), 157-163. https://doi.org/10.11648/j.sjbm.20231104.13
ACS Style
King, R. Examining the Relocation of Minority Businesses and Its Relationship with Gentrification and the Banking Industry. Sci. J. Bus. Manag. 2023, 11(4), 157-163. doi: 10.11648/j.sjbm.20231104.13
AMA Style
King R. Examining the Relocation of Minority Businesses and Its Relationship with Gentrification and the Banking Industry. Sci J Bus Manag. 2023;11(4):157-163. doi: 10.11648/j.sjbm.20231104.13
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Download@article{10.11648/j.sjbm.20231104.13,
author = {Reginald King},
title = {Examining the Relocation of Minority Businesses and Its Relationship with Gentrification and the Banking Industry},
journal = {Science Journal of Business and Management},
volume = {11},
number = {4},
pages = {157-163},
doi = {10.11648/j.sjbm.20231104.13},
url = {https://doi.org/10.11648/j.sjbm.20231104.13},
eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.sjbm.20231104.13},
abstract = {Gentrification involves the introduction of innovative business prospects. Bringing new and diverse residents to a community necessitates the emergence of novel businesses and the revitalization of existing ones, thereby fostering opportunities. To accomplish this, businesses old and new often need financial services from banking institutes. Banks provide small businesses with business-specific financial services that support small business owners in managing their money. Studies add that banks also provide business owners with checking account services, business credit, debit cards, merchant services, lines of credit, and business loans. When the right relationship exists, a business owner’s bank does more than hold their money. It serves as a vehicle to address immediate business needs and plan for the future. Banks are vital to the life and growth of small businesses. While banks have provided these services for new white-owned businesses entering gentrified communities, research has demonstrated that these offerings are altered when minority small businesses are engaged. The research has found that minority businesses experience various issues when seeking financial services from banking institutes. These issues include a higher percentage of loan denials as compared to their white counterparts and higher interest rates, to name a few. The research sought to gather data on these disparities, utilizing various studies from cities and states experiencing gentrification, linking this information with past and presenting banking practices towards minorities and their businesses. The research also sought to demonstrate the importance of minority businesses to their communities and the results when those minority businesses are denied financial services from banking institutes. Finally, the research demonstrates the tools and resources accessible to aid minority businesses in redeveloping and thriving as their communities undergo transformation during gentrification and in the subsequent phases.
},
year = {2023}
}
TY - JOUR T1 - Examining the Relocation of Minority Businesses and Its Relationship with Gentrification and the Banking Industry AU - Reginald King Y1 - 2023/11/21 PY - 2023 N1 - https://doi.org/10.11648/j.sjbm.20231104.13 DO - 10.11648/j.sjbm.20231104.13 T2 - Science Journal of Business and Management JF - Science Journal of Business and Management JO - Science Journal of Business and Management SP - 157 EP - 163 PB - Science Publishing Group SN - 2331-0634 UR - https://doi.org/10.11648/j.sjbm.20231104.13 AB - Gentrification involves the introduction of innovative business prospects. Bringing new and diverse residents to a community necessitates the emergence of novel businesses and the revitalization of existing ones, thereby fostering opportunities. To accomplish this, businesses old and new often need financial services from banking institutes. Banks provide small businesses with business-specific financial services that support small business owners in managing their money. Studies add that banks also provide business owners with checking account services, business credit, debit cards, merchant services, lines of credit, and business loans. When the right relationship exists, a business owner’s bank does more than hold their money. It serves as a vehicle to address immediate business needs and plan for the future. Banks are vital to the life and growth of small businesses. While banks have provided these services for new white-owned businesses entering gentrified communities, research has demonstrated that these offerings are altered when minority small businesses are engaged. The research has found that minority businesses experience various issues when seeking financial services from banking institutes. These issues include a higher percentage of loan denials as compared to their white counterparts and higher interest rates, to name a few. The research sought to gather data on these disparities, utilizing various studies from cities and states experiencing gentrification, linking this information with past and presenting banking practices towards minorities and their businesses. The research also sought to demonstrate the importance of minority businesses to their communities and the results when those minority businesses are denied financial services from banking institutes. Finally, the research demonstrates the tools and resources accessible to aid minority businesses in redeveloping and thriving as their communities undergo transformation during gentrification and in the subsequent phases. VL - 11 IS - 4 ER -
Business and Entrepreneur Department, Prince George’s Community College, Largo, United States
