Written by the Kauffman Foundation, June 2022

The COVID-19 pandemic significantly affected small and new businesses across the U.S., particularly those owned by women, people of color, and entrepreneurs in historically under-resourced communities. The Kauffman Foundation’s report, “COVID-19 and Entrepreneurial Firms: Seeding an Inclusive and Equitable Recovery”, offers critical insights for designing more effective, inclusive, and equitable relief and recovery policies.

Key Insights from the Report

1. Aligning Equity with Economic Growth
   Relief programs that integrate equity and inclusion goals can support long-term economic resilience. Engaging diverse entrepreneurs in program development leads to more effective design and ensures initiatives meet the needs of all business owners.
2. Guidance on Reporting Metrics
   Government agencies must provide clear guidance on how to create and use standardized reporting metrics. These metrics are vital for assessing program impact and ensuring accountability in meeting equity objectives.
3. Purposeful Design with Feedback Loops
   Tracking inclusion metrics is only the first step—programs should also include built-in feedback loops to adapt and improve based on real-time data and stakeholder input.

By incorporating these recommendations, policymakers can design recovery initiatives that not only support economic growth but also build a more equitable and inclusive entrepreneurial ecosystem.