It All Starts With Small Businesses!
By Ariel Neidermeier
The 'It All Starts Here' campaign, funded by a consortium of San Francisco business leaders and launched during APEC 2023, was created to rekindle the city's innovation and cultural vibrancy in the aftermath of the pandemic. While the campaign video emphasized the contributions of Big Tech and business leaders, it largely overlooked the crucial role of small businesses, women and minority communities in shaping San Francisco's past, present and future; which begs the question: will meaningful change happen through top-down leadership or does the city’s most effective solution lie in the hands of its women and neighborhood leaders?
The Unseen Force
Uzuri Pease-Greene at the Daniel Webster Elementary School mural. Photo by Tumay Aslay.
San Francisco's re-emergence is not only being driven by Big Tech and big name business leaders, but also by the contributions of neighborhood micro-economies and small business owners. There are 126,634 small businesses in San Francisco, which make up nearly all of the businesses (99.87 %) in the county. According to the San Francisco Office of Economic and Workforce Development (OEWD) women-led small businesses comprise an estimated 37-42% of these businesses.
The rising number of women-led businesses could be a result of capital challenges. As tech journalist and entrepreneur Sarah Lacy points out, “We know that historically, even in tech boom times, women were getting less than 3% of venture capital. That got worse after the pandemic. Women dominate in small business entrepreneurship partly because they don't have access to capital.”
Although women-led businesses make up more than a third of all small businesses in San Francisco, they still receive less support than businesses owned by men. During the pandemic, women business owners in San Francisco received OEWD loans and/or grants that were 23% less than the average award provided to men ($15,082 for men versus $11,649 for women). What’s more, women-owned businesses in San Francisco received 37% less than the average Paycheck Protection Program Loan amount than male-owned businesses in 2020.
And, female business owners are not the only entrepreneurs that need more support. “Don’t forget about social entrepreneurs - we need nurturing too!” says Uzuri Pease-Greene, Director of C.A.R.E. San Francisco, a nonprofit helping grow public housing into a strong and thriving community on Potrero Hill.
How Female Entrepreneurs Are Reviving San Francisco's Neighborhoods
Kate Maeder and Kaela Miller, co-owners of Scarlet Fox Wine Bar in NOPA. Photo courtesy of Kate Maeder.
While downtown San Francisco has struggled post-pandemic, neighborhoods like NOPA and the Castro are flourishing. There are 20% fewer small businesses downtown than there were before the pandemic. Last year, the Financial District and South Beach experienced 738 openings and 844 closures. In contrast, NOPA, including the Lone Mountain and USF districts, saw 97 businesses open and 63 businesses close, while the Castro, including Upper Market, witnessed 270 openings against 159 closures.
Many of these new businesses have been founded by women — like Kate Maeder, a political strategist and co-owner of Scarlet Fox Wine Bar which opened in NOPA last June. To Maeder, the role of small businesses in San Francisco’s recovery is vital. "Women and diverse folks can play an important role in rebuilding our city post-COVID, especially in our vibrant neighborhoods," she says. While she acknowledges the challenges of opening a business in the city, she notes how she and her wife and co-owner benefitted from San Francisco’s policies supporting small businesses, like 'Change of Use' and 'First Year Free'. "It’s no easy feat, but building a culture of supporting small businesses will help the city thrive," Maeder believes.
Carol Gancia, the founder and chocolatier of Kokak Chocolates. Photo courtesy of Carol Gancia.
In the Castro, Carol Gancia, the founder and head chocolatier of Kokak Chocolates, reflects on the unique challenges and rewards of running a food-related business in San Francisco. Despite having her chocolate shop broken into twice since opening during the pandemic, Gancia has committed to making it a haven of authenticity and cultural diversity, offering customers a taste of the tropics amid the city's urban landscape. "It’s a place of discovery," Gancia notes, highlighting her exotic flavors like Calamansi and guava chocolate. She also emphasizes the importance of community involvement and LGBTQIA+ support. "We actively participate in our community, standing up proud and being seen," she adds.
Building a Safer, More Vibrant City
San Francisco's journey towards revival in a post-pandemic world is increasingly being shaped by women entrepreneurs who are not only running successful businesses but also actively investing in building safer, more welcoming communities. Their contributions go beyond economic impact; they are integral in building a city that thrives on inclusivity, safety and vibrancy. This, in turn, is redefining traditional business norms, and leading to a renewed understanding of what constitutes "good business."
At the height of the pandemic, Kimberly Jackson Wickam, owner of JAX Vineyards in SOMA, began hosting events, bringing in experts to discuss AI, mental health and other socially-pressing topics. This shift in the way JAX did business not only led to its survival but also contributed to the surrounding neighborhood's revival. “We worked very hard to be an open venue for our neighborhood. We call ourselves the ‘SOMA neighborhood oasis’.” To Jackson Wickham, neighborhood safety is vital for San Francisco businesses to flourish. "People need to feel safe to venture into specific neighborhoods," she explains.
Similarly, Jennifer Derrick, co-owner of The Finerie boutique on Fillmore Street, emphasizes the need for a supportive policy environment for small business. "It's not easy to figure out all the hoops that you need to jump through," she points out, highlighting the challenges in navigating city policies. Despite these hurdles, her and her co-owner’s passion for revitalizing San Francisco as a fashion destination drove them to open their boutique in November 2022. From the beginning, their vision extended beyond just business. “We were like, ‘how can we foster and build a new community where we could be surrounded by successful, dynamic, awesome women?’”
As part of their mission to create a space of community engagement and intellectual exchange, Derrick said The Finerie would be starting a speaker series in the new year. Once a month, they’re planning to bring in dating coaches, midlife experts and female founders to create a space for women to feel supported and connected.
Missed Opportunities
The multi-channel advertising campaign to refresh San Francisco’s beleaguered image had a $4 million budget funded mostly by tech billionaires. What would women have done with this funding?
● Fund onsite childcare in office buildings and creatively boost women-founded and other small businesses to entice people ‘back to work’ downtown. San Francisco has seen a 34.7% reduction in its in-person workforce, resulting in the loss of $2.9 billion dollars in yearly spending for the city’s residential and commuter workforce. If fewer workers are commuting to and from downtown, then the city should invest in onsite childcare in office buildings to get parents rushing back in and provide creative economic support to underserved entrepreneurs trying to make a go of small, medium and big ambition businesses.
● Look at safety, quality of environment, and culture from San Francisco women’s perspectives. Crowdsource female residents’ feedback and fund creative ideas for making downtown friendly to women, parents, families and visitors. If women feel safe and supported in the city, they will let their national and global communities know that San Francisco is emerging even better than before. This, in turn, will draw long-term residents, entrepreneurs, visitors and tourists, creating vibrant thriving communities across the city.
● Address the overdose epidemic. While 2020 remains the deadliest year on record of San Francisco’s overdose epidemic with more than 720 overdose-related drugs, 2023 has the potential to outpace 2020’s record with a current projection of 752 deaths by the end of year. To combat this, more funds could be invested into ongoing initiatives to provide harm reduction supplies and connect people to long-term substance abuse care. This, in turn, would partially address the homelessness crisis in San Francisco, as more than half of individuals who receive street overdose resources are unsheltered.
“Us” Includes Women Too
The 'It All Starts Here' campaign video’s narrative of epic innovation and progress presented more like an initiative for 'All of Them' than 'All of Us.' To genuinely capture the city's spirit, it's essential to broaden the lens to include diverse perspectives and enterprises, particularly those led by women. By valuing and uplifting the contributions of women and minority-led businesses, San Francisco can truly redefine what innovation looks like and ensure that its revival is not just successful but equitable.
About the Author: Ariel Neidermeier is a San Francisco Bay Area journalist and contributing writer for Seismic Sisters.
Seismic Sisters is a dynamic and progressive San Francisco-based media platform dedicated to amplifying the voices of feminists, promoting gender equity and acting boldly for social justice. Focusing on a blend of insightful journalism, engaging storytelling and advocacy, it amplifies the voices of new leaders and long-time rebels who are shifting culture and changing the landscape. From in-depth articles on societal issues to profiles of influential female leaders and creators, Seismic Sisters serves as a vibrant space for discussion, inspiration and empowerment, celebrating the contributions and achievements of women while driving the conversation on feminism and social justice forward.