Minority-Owned Businesses Surge in Kansas City Despite Economic Challenges

KANSAS CITY, MISSOURI — Casie Murff spent two decades in corporate IT work before returning to his entrepreneurial roots, opening The BeVel Barber Lounge near 43rd Street and Troost Avenue last year as part of a growing wave of minority-owned businesses launching across Kansas City.

Murff’s barbershop represents a broader trend documented in a new report from the Kansas City-based Ewing Marion Kauffman Foundation, which found that business creation nationwide climbed back to pre-pandemic levels in 2025, powered disproportionately by Black, Latino and immigrant founders starting enterprises at higher rates.

“I was in IT and in corporate America for 20 years, but I’ve always been an entrepreneur,” Murff told The Beacon. “I always felt like there was something more.”

From Side Hustle to Business Model

Murff had tried his hand in insurance, real estate and online retail before returning full-time to cutting hair, one of his first side hustles from youth. His current location represents an expansion from his previous shop on 39th and Main Street that opened in 2021.

The entrepreneur’s vision extends beyond personal success. “My mindset is to build an asset,” Murff said. “I don’t necessarily want to create a job for myself. I know at the beginning stages it will be a job, but the whole purpose is to create generational wealth for my family and to help others do the same.”

The BeVel Barber Lounge has created employment opportunities for Murff and several employees, contributing to the local economy in an area that has seen increased business development along the Troost corridor.

National Trends Show Mixed Results

The Kauffman Foundation’s 30-year nationwide report on entrepreneurship, released in May, revealed both encouraging and concerning patterns in minority business creation. While the overall rebound in business formation signals economic recovery, researchers identified troubling underlying dynamics.

Data showed that immigrant and minority-owned businesses were increasingly started out of necessity rather than opportunity, meaning more entrepreneurs launched ventures because they needed income rather than pursuing market opportunities or innovative ideas.

According to the foundation’s research, businesses started from necessity face steeper paths to success and experience higher failure rates compared to opportunity-driven startups. The report also noted that overall startup survival rates have declined, creating additional challenges for new minority-owned enterprises despite their increased numbers.