In Nebraska, Latinos are the fastest growing demographic and an economic force. Before the pandemic, more than 900 businesses in Nebraska and 560 in the Omaha and Council Bluffs area were owned by a Latino, according to data from the U.S. Census Bureau’s 2019 Business Survey.
But the pandemic hit North and South Omaha business owners hardest, causing many Latino-owned businesses to shut down or lose business. Researchers with the Office of Latin/Latin American Studies, or OLLAS, at the University of Nebraska at Omaha, set out to survey 121 owners in South Omaha and found Latina women-owned businesses were disproportionately impacted by the pandemic.
Latinas, who largely own childcare services, food services and clothing businesses, work more direct contact with clients and were more likely to reduce operations or close during the pandemic, according to the study, which was written by OLLAS director Cristián Doña-Reveco and UNO graduate student Marissa Cuellar.
“If you’re working in childcare and you have to close your business, then you have 20 other mothers that have to stay home from their jobs,” Doña-Reveco said. “It’s not only an economic impact on the owner’s family, but it’s also an economic impact on 20 others or 30 others depending on how many kids you take care of.”
Owners who participated in the survey also shared that throughout the pandemic they felt more support from their clients and the Latino community than the local and state governments, even as many customers faced financial challenges themselves, Doña-Reveco said.
Now three years after the start of the pandemic, money from the American Rescue Plan is slowly making its way to local organizations in North and South Omaha. Community members hope the investments get into both new and longtime Latino-business owners’ hands to stabilize and grow the economy.
Community leaders say investment and equity will help Latino-owned businesses thrive in Omaha. Here are three Latino-led programs helping pave the way for Latino and Latina business owners.
Latino Business Expansion Program
Address: 4923 South 24th Street, Suite 201 A
Phone: (402) 850 0968
Despite many businesses still not back to pre-pandemic sales levels, Marta Sonia Londoño Mejia feels positive about the future for Omaha’s Latino-owned businesses.
Londoño Mejia helped organize the OLLAS survey and is the executive director of Midwest Businesses & Projects LLC. Since January, she’s worked with a group of 12 small to mid-sized businesses on their growth plans.
“They have great projects,” Londoño Mejia said of the businesses in the first Latino Business Expansion Program. “If Latino businesses receive the resources, they can improve their business and the community.”
Lending Link
Address: 4706 S. 24th St.
Phone: (402) 557 5965
Language barriers, immigration status or other requirements can hold entrepreneurs back from applying to government grants and other funds.
Some banks don’t finance smaller businesses because of similar barriers, and some lenders try to take advantage of people looking for loans by charging high interest rates, the price paid to borrow money.
That’s why Daniel Padilla created Lending Link, an organization that offers affordable loans to individuals and businesses.
“There’s a lot of individuals and small businesses in town that don’t have access to capital,” Padilla, Lending Link’s executive director, told El Perico.
At his office at 4706 S. 24th St., Padilla and his bilingual team work to grant loans to people who otherwise may not be able to borrow the money at a bank.
Since Lending Link opened about three years ago, they’ve given about 5,000 loans that total about $10 million to businesses and individuals around Omaha, according to Padilla. He also said the organization will expand two locations to North Omaha and Yates Illuminates, a new community center.
Midlands Latino Community Development Corporation
Address: 2401 N Street
Phone: (402) 933 4466
The Midlands Latino Community Development Corporation, or MLDC, is another South Omaha organization in Omaha helping remove barriers for Latino immigrants beginning and maintaining a business.
“Not everyone is going to be an entrepreneur, but we need to expose everyone to the opportunity to be an entrepreneur,” said Juan Montoya, the executive director.
MLCDC focuses on entrepreneurship, lending and financial education as tools for economic development. You can learn more about MLCDC’s programs here.
Montoya said people interested in creating their own business should start by asking themselves one question: “What is the total cost of this project?”
“It’s important to plan for what you’re going to sell, what you’re going to spend, and how much you plan to get as a profit,” Montoya said.
MLCDC is now located in a new space in the old Kubat Pharmacy building near Plaza de la Raza at 2401 N Street.
Contact the writer at bridget@el-perico.com