In 2023, Charlotte, North Carolina, made a significant leap toward fostering inclusivity in its business community by distributing $193 million in city contracts to minority and women-owned businesses. This marked a 23% increase from the previous year, signaling a growing commitment to ensuring that small, minority, and women-owned enterprises (MWSBEs) have access to public sector opportunities. The Charlotte Business INClusion (CBI) program, launched by the city, is setting ambitious goals to not only continue this progress but to position Charlotte as a national model for economic equity.
A Vision for National Leadership in Supplier Diversity
The Charlotte Business INClusion program is focused on breaking barriers and creating an environment where MWSBEs can thrive. Over the next two years, the city aims to be a model for other cities across the country by distributing city contracts to a more diverse range of businesses. The initiative is especially significant as many states have recently scaled back or ended diversity and inclusion programs in various sectors. Charlotte’s program counters this trend, doubling down on its commitment to ensuring that Black-owned businesses and other minority firms benefit from municipal contracts.
In 2023 alone, the city saw a remarkable 45% increase in contract spending with minority and women-owned businesses compared to 2021. With this level of growth, Charlotte has made it clear that economic inclusion is not only a goal but an achievable reality.
Bridging Gaps and Connecting Opportunities for Black Entrepreneurs
At the heart of this initiative is Steven Coker, Charlotte’s Business Inclusion Officer, who views the CBI program as a bridge between the city’s resources and its diverse business community. By focusing on Minority Business Enterprises (MBEs), Coker and his team ensure that these businesses have access to city contracts, as well as the support needed to scale and succeed. In total, CBI currently works with about 560 businesses, including Black entrepreneurs, with plans to increase that number to 640 by next year.
According to Coker, the program’s success is due to its unique approach. “By embedding our efforts within the city’s operational framework, CBI serves as a critical bridge,” he explains. With a dedicated team of staff members and liaisons across various city departments, CBI has created a well-integrated system that ensures businesses benefit from city resources in a streamlined manner.
Supporting Growth with Education, Resources, and Financing
One of the key challenges for many MWSBEs is accessing the resources needed to grow their businesses. CBI is tackling this issue through several initiatives, including its upcoming CBI University, launching in February 2024. This program will provide technical support and educational resources to help businesses strengthen their capabilities and competitiveness.
In addition, the city launched a $40 million growth fund in May 2024 to provide financing for MWSBEs. This fund aims to offer 2,000 loans, each up to $250,000, over the next four years. The financing is expected to address one of the largest barriers these businesses face: access to affordable capital. By providing this support, Charlotte is helping businesses scale their operations and pursue larger contracts, fostering long-term growth and sustainability.
Real-World Success Stories from Charlotte’s Business Inclusion Program
Charlotte’s commitment to supporting Black-owned businesses has already led to tangible results. One example is DA Everett Construction Group, which secured a 20% partnership with Turner Construction on the $215 million renovation of the Charlotte Hornets’ Spectrum Center. Another is McFarland Construction, which partnered with JE Dunn Construction to build a $20 million fire station.
These success stories are just the beginning. Coker believes that the future of Charlotte’s business inclusion program will continue to inspire other cities across the country. “These combined efforts create a nationally recognized model of inclusivity, positioning Charlotte as a leader in supplier diversity and economic equity,” he says.
Looking to the Future: Charlotte’s Plans for Continued Growth
Looking ahead to 2025, Coker is encouraging Black-owned businesses to take advantage of the resources and support available through CBI. With new programs like the Contractor Development Program, businesses will have the mentorship, technical skills, and support they need to enhance their competitiveness and secure more contracts.
Charlotte’s efforts to support MWSBEs not only create opportunities for local entrepreneurs but also contribute to the broader goal of closing racial gaps in business ownership. Research shows that closing these gaps could add up to $5 trillion to the U.S. economy over the next five years. As more cities look to foster inclusive economies, Charlotte’s example serves as a powerful blueprint for success.
