Business

Lack of black leadership in Brazilian startups reduces opportunities

Brazil's startups are still overwhelmingly white, while black entrepreneurs continue to face difficulties to access the banking system

startups fintechs black leadership
Image: André Chiavassa/TBR

When Sergio All, a black Brazilian entrepreneur in the advertising business, tried to take out a loan to upgrade his firm’s equipment many years ago, he was turned down by his bank, despite having been a client for years. The bank failed to provide an adequate reason as to why he was rejected. Indeed, the ‘no’ received by Mr. All is a recurring phenomenon across Brazil. According to a survey published in 2019, developed by Pretahub in partnership with JPMorgan and Plano CDE, one-third of black entrepreneurs in Brazil reported being turned down for loans for no reason. 

However, that...

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