Black Women Lead Small Business Training Program With 400+ Graduates Over Five Years

By Kekeletso Nkele, small.news Assistant

(small.news) — A small business training initiative graduated over 400 owners, mostly Black women starting new ventures, across 17 cohorts in five years. However, many participants still cannot assess whether their businesses are earning more, according to the Scale Up program’s five-year impact report.

The 12-week Scale Up Your Business program, created by LA21 in Philadelphia, combined virtual sessions, self-paced learning, coaching, and technical assistance, serving 400 businesses in 17 cohorts. Participants were predominantly women (90%), with 80% African American and 60% new business owners.

Telephone surveys of 145 program graduates provided the report’s assessment of outcomes across five areas: business structure setup, financial growth, business location, employee expansion, and digital presence.

Formalizing Businesses: The Program’s Clearest Win

The program most clearly succeeded in business formalization. Among surveyed participants, 54% registered their business, obtained licenses, and acquired an Employer Identification Number (EIN) during the 12-week training. Another 40% had established their business structure before joining. Only 5% did not complete these steps by the end.

The report describes that a “significant majority” of participants completed the foundational requirements for legal compliance, financial management, and operational efficiency.

“The program helped most participants establish business structures, empowering small business owners to navigate regulatory requirements and administrative processes with confidence and competence,” the report states.

Banking Access Expands, Revenue Picture Murky

Results on financial growth were mixed. 53% of participants opened a business bank account during the program, matching the 53% who already had one and nearly doubling the share of banked participants. Participants struggled to clearly document revenue changes, making it hard to assess financial progress.

Only 21% of participants increased their revenue during the program and in the period immediately following. 25% maintained the same revenue. A majority — 53% — could not quantify any change in revenue.

The report links this gap to both the absence of financial tracking systems and incomplete records. Many lacked formal tracking, making it difficult to understand revenue growth. The report calls for more education in record-keeping and financial monitoring.

Home-Based and Pop-Up Operations Dominate

Of the 144 businesses with location data, 59 (41%) operated from home. Forty-four (31%) were pop-ups, including food trucks and mobile vendors. 41 (29%) operated from physical storefronts.

The report flags rising commercial rents as a structural barrier to scaling. “Some home-based businesses struggle to scale to a brick and mortar due to rising rent costs within the city and fluctuating demand for products and services,” it notes.

To address this, the report highlights the 4th District Container Village, describing it as an initiative that offers lower-cost commercial spaces as a transition step for small business owners seeking a physical presence without full commercial lease costs.

Retail Leads, Services Diverse

Retail was the most common business type at 35.4%, followed by food (9.5%), consulting (6.1%), childcare, and media (4.8% each). Across cohorts, top categories were retail, restaurants/catering, professional services, media, and childcare.

Participants launched businesses across a wide range of industries, including real estate, event planning, construction, art, home care, and education, as the report describes: “a diverse set of industries represented.”

Limitations

Researchers conducted telephone interviews with 145 graduates using a standard questionnaire. With over 400 total graduates, the response rate may limit generalizability. The report does not specify the survey timeframe or account for businesses that have closed.

Most cohorts included about 20 participants each. Cohorts 4 and 17 appear to have enrolled the most participants, according to the report.