Entrepreneurship is Uptown Business

Entrepreneurship is often viewed as the pathway to economic freedom, innovation, and wealth creation. But in Jamaica, this path has historically been more accessible to some than others, particularly those from wealthier backgrounds, or what we colloquially refer to as “uptown” families. Since the country gained independence in 1962, entrepreneurship has played a pivotal role in economic development, but the story of who became entrepreneurs—and why—reveals deep-rooted disparities based on class, race, gender, and access to capital.

Defining Entrepreneurship

At its core, entrepreneurship is the process of creating a business venture to meet market needs, solve problems, or introduce innovations. Entrepreneurs take on the risks associated with starting and managing businesses in exchange for potential rewards—typically financial gain and personal fulfillment. Entrepreneurship goes beyond mere business ownership; it is also about identifying opportunities and creating value in dynamic ways.

Historically, entrepreneurship has been the driving force behind the growth of economies, fostering job creation, wealth distribution, and innovation. In Jamaica, however, the critical path to entrepreneurship has not been the same for everyone.

The First Entrepreneurs in Jamaica

The earliest entrepreneurs in Jamaica were primarily white and of European descent. During the colonial period, wealth and power were concentrated in the hands of the plantocracy—British and other European settlers who owned large sugar plantations and relied on the labor of enslaved Africans. These early "entrepreneurs" benefited from systems of exploitation and land ownership that were inaccessible to the majority of Jamaicans, particularly those of African descent.

After slavery was abolished in 1838, a small group of freed black Jamaicans began to engage in small-scale farming and trading, but they lacked the resources to compete with established business owners. The Indian and Chinese immigrants who arrived in the late 19th century also engaged in commerce, setting up shops and small businesses. Despite their success, these groups still faced significant barriers in competing with the entrenched economic powerhouses from wealthier backgrounds.

Factors Supporting 'Uptown' Entrepreneurs

In post-colonial Jamaica, factors like education, socialization, race, and gender have systemically supported the easier access to entrepreneurship for a certain class of people—the upper and middle classes, or "uptown" Jamaicans.

1. Education

Education has long been a key determinant of entrepreneurial success. Historically, children from wealthier families in Jamaica were sent to elite preparatory and high schools, where they received a higher quality education. These schools often had better resources, a stronger emphasis on academic excellence, and direct pipelines to universities abroad. This elite education provided “uptown” Jamaicans with not only superior skills but also a network of connections that could be leveraged in business.

On the other hand, children from working-class families often attended underfunded public schools with limited resources, making it harder for them to develop the knowledge and skills necessary to start businesses.

2. Socialization and Family Influence

The family culture and socialization of “uptown” Jamaicans also played a critical role. For many of these families, entrepreneurship was modeled as a viable career path, often passed down through generations. Wealthier families had the means to expose their children to entrepreneurial thinking from a young age, while lower-class families, struggling to meet basic needs, were more likely to encourage children to pursue stable jobs in public service or skilled labor.

Wealthier families also had access to influential social networks, where business ideas could be supported by peers or mentors, a luxury unavailable to the lower classes.

3. Race and Gender

Historically, entrepreneurship in Jamaica has also been tied to race. Lighter-skinned Jamaicans, who were more likely to come from wealthier backgrounds, were better positioned to start and grow businesses. This was not only because they often had family wealth to draw upon but also because the colorism entrenched in Jamaican society often meant they were perceived as more trustworthy by financial institutions and investors.

Gender, too, played a significant role. For many years, women were discouraged from entrepreneurial ventures. Men dominated the business world, particularly in industries considered more prestigious. While women, particularly black women from lower classes, often engaged in informal business activities such as vending or small-scale farming, these were not seen as "real" entrepreneurship and were less likely to receive institutional support or financing.

4. Access to Capital

Perhaps the most glaring systemic barrier to entrepreneurship for the lower class is access to capital. Banks and private investors have historically been more willing to lend to those who already have assets—people who own property or have family wealth—meaning that those from “uptown” had a distinct advantage. These individuals were seen as less risky borrowers because of their existing wealth and social standing.

For lower-class Jamaicans, who typically lack collateral or deep-pocketed family networks, securing business loans has been an uphill battle. The class of an entrepreneur has often influenced decisions made by banks and investors. The perception that individuals from lower classes pose a higher financial risk has perpetuated their exclusion from institutional capital, stunting their entrepreneurial aspirations.

Breaking Down the Barriers to Entrepreneurship

Thankfully, despite Jamaica’s history of class-based disparities in entrepreneurship, the barriers are beginning to erode. Access to education is becoming easier and more affordable for lower-class Jamaicans, thanks to advancements in technology. Online learning platforms, free educational resources, and scholarships are making it possible for more Jamaicans to upskill themselves and enter industries once dominated by the wealthier classes.

With an increase in higher levels of education and better-paying jobs, more individuals from the lower and middle classes are accumulating disposable income, which they are beginning to channel into entrepreneurial ventures. This has been particularly evident in the rise of micro and small enterprises across the island.

Still, much work remains to be done, particularly in democratizing access to capital for high-growth startups and SMEs. Alternative financing options such as angel investing and grant financing are beginning to emerge as viable sources of funding for entrepreneurs who are unable to secure traditional bank loans. Organizations like First Angels Jamaica and other grant programs like the DBJ BIGEEE programs are giving entrepreneurs from all classes a fighting chance to grow their businesses.

Entrepreneurship education is also on the rise at both the secondary and tertiary levels, with young Jamaicans showing increasing interest in science and technology—the driving forces behind modern entrepreneurship. If these positive trends continue, entrepreneurship will eventually become everybody’s business, not just “uptown” business.

Jamaica’s entrepreneurial future is promising, but to truly unlock its potential, we must ensure that access to capital, education, and opportunity is available to everyone, regardless of their background.

© Germaine A. Bryan, 2024

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Germaine Bryan is a business developer and startup coach supporting locally based startups and SMEs in Jamaica. Germaine is a skilled tactician in strategic business planning and has helped hundreds of entrepreneurs build their capacity to operate at scale. Germaine is the Managing Principal of Gerbry Business Ltd. For enquires. please email: germaine@gerbry.business