Building a More Inclusive and Resilient Philadelphia
Research by Next Street, Urbane, Econsult Solutions, Inc., and SourceLink
Executive Summary
Philadelphia is home to a vibrant small business community, yet many entrepreneurs—particularly Black and Latino(a) business owners—continue to face barriers to capital, business support, procurement opportunities, and long-term growth.
To better understand these challenges, local leaders partnered with Next Street and ecosystem stakeholders to assess Philadelphia's entrepreneurship ecosystem. Through data analysis, stakeholder engagement, and ecosystem research, the assessment identified opportunities to strengthen economic mobility and create more equitable pathways to business ownership and growth.
Key Findings
Small Businesses Drive Philadelphia's Economy, But Opportunity Gaps Persist: Small businesses are a critical source of jobs and economic activity, yet business ownership does not reflect the city's diversity. Entrepreneurs of color continue to face disproportionate barriers to starting and scaling businesses.
Access to Capital Remains a Major Challenge: Many business owners struggle to access affordable financing, growth capital, and procurement-readiness funding. Expanding access to flexible and relationship-based capital is essential to closing business growth gaps.
Entrepreneurs Need Trusted Guidance and Networks: Business owners consistently cited the need for mentorship, professional services, procurement support, and trusted advisors who understand their industries and communities.
Ecosystem Coordination Can Be Improved: While Philadelphia has a strong network of business support organizations, resources can be difficult to navigate. Greater coordination, referral systems, and shared infrastructure can improve outcomes for entrepreneurs.
Equitable Entrepreneurship Requires Systems-Level Solutions: The most effective approaches connect capital, business support, market opportunities, and ecosystem coordination around the needs of entrepreneurs and small businesses.
Strategic Priorities
The report identifies four opportunities to strengthen Philadelphia's entrepreneurship ecosystem:
Access to Capital: Expand equitable access to financing and investment.
Market Opportunities: Increase procurement and business growth pathways.
Trusted Guidance: Strengthen mentorship, advising, and professional support.
Ecosystem Infrastructure: Improve coordination and navigation across providers.
The Opportunity
Philadelphia has the assets, partners, and entrepreneurial talent to become a national model for equitable entrepreneurship. By strengthening ecosystem infrastructure and expanding access to opportunity, the city can support greater business growth, wealth creation, and long-term economic resilience.
Download the Full Report
Explore the full report for deeper insights into Philadelphia's entrepreneurship ecosystem, barriers facing entrepreneurs of color, and strategies for advancing equitable economic growth.