There are a few reasons to why black businesses can’t survive in the black community. The main two reasons we can’t sustain business in our community is discrimination from suppliers and poor leadership.
Let’s first take a look at discrimination from suppliers. In order for you to maintain a profitable business you have to be able to buy low and sell high, in that gap is where profitability lives. Example when you walk into a black grocery the store normally is not full with items. Reason being suppliers that supply grocery stores normally do not extend a line of credit to Black Grocers.
The normal business practice is to have a line of credit extended to you and then you pay off that credit, especially when trying to establish yourself. When a person of Arabic descent Asian or White enters the grocery business they immediately establish a line of credit. The Robinson-Patman Act along with other laws was created to fight this type of discrimination.
Suppliers of material cannot discriminate against Black merchants in any way. So if you are starting a construction company the price of your supplies are to be the same with everyone else.
Black lawyers and Black politicians don’t point out these irregularities. These leaders just allow their less fortunate neighbor to wither and die. As seen in Overtown, Miami.
That brings us to reason two, poor leadership. Black businesses in Overtown fail at an alarming rate. The Third Avenue business Corridor between 10th and 11th Street mostly control by Salomon Yukon has been a disaster for black business.
Salomon Yuken is a known racist. He has a strategy of using black people’s money to his advantage to gain wealth. His strategy starts with the use of SEOPW CRA money to build out store front space in the building he is leasing on 3rd Avenue. This agreement usually comes with a 5 year lease and rent cap for the incoming business. After the 5 years he then accuses the Black business owner of selling drugs and ends the lease, evicting the Black business.
This Behavior was brought to the attention of commissioner Keon Hardemon. We witnessed Hardemon confront Salomon Yukon on this matter. Salomon rudely told Hardemon to get out of his face. It was a display of disrespect to a black official that we have never witnessed before. To say the least Hardemon did nothing. Salomon continues to operate with impunity and reward.
The SEOPW CRA under Keon Hardemon’s leadership was just quoted in the Miami Times as referring to the Overtown Wall as a platform. Anyone with eyes can see that it’s a wall.
So the question is why don’t Hardemon and the SEOPW CRA just come clean and say they have been bamboozled. That they did not see the plans to a project that they gave 17.5 million dollars to.
The SEOPW CRA owns the 3rd Avenue Shopping Plaza in Overtown. They renovated it with the people of Overtown money and they charge exorbitant amounts of rent for the area. They do not cap their rent as required by other landlords like Salomon.
In this 3rd Avenue Shopping Plaza is a business call Two Guys placed by SEOPW CRA. And like Italian Ice, a Black business in Overtown that was given $50,000 on the dream that they could pay rent selling Italian ice. Two Guys has been set up for failure.
Two Guys and the owner Ms. Shirley have been put through hell by the SEOPW CRA in the past and now has to pay an exorbitant amount of rent in the Shopping Plaza. This translates into her having to price her food at a higher price. Punishment to her loyal customers that love her food so much. An action that is sure to run her out of business.
Top Value the Cuban grocery in Overtown was given over $600,000 from Blacks to operate. They hired a few Black women to cashier, no Black men and no Blacks in higher position. The hedge of trees and bushes between the grocery and the community is so thick you can not see the grocery from the street. Forcing away the undesired Black customer in their own community.
Black leaders always point to the community as failure.
It’s time we point back. This is a call to all strong Men and Women of the community, STAND UP!