Charlotte entrepreneurs on keys to long-term success

Jermaine Johnson is co-founder of No Grease Inc.

In the years since COVID sent economic shockwaves across all markets, reports indicate that more small businesses are being launched than ever. 

Rates of long-term success, however, remain unchanged with between 80% and 90% of small businesses failing within the first five years. Unsurprisingly, the rates are higher among Black small business owners. 

But this is not always the case, and in Charlotte, there’s evidence Black entrepreneurs can and do successfully create and maintain thriving businesses. A February article in The Business Journals reported Charlotte has just under 3,400 Black-owned businesses, which account for about 6.5% of all firms in the region. 

The national average of Black-owned businesses is less than half that at 3.4%. Even in Atlanta, the Black wealth mecca, it’s 10%. 

While there is no one-size-fits-all approach to business ownership, there are some general practices and common mistakes that can help better prepare would-be entrepreneurs. 

The Post reached out to three Charlotteans who have built lasting and lucrative brands. 

Frank Johnson is vice president of ACCESS Services, a staffing company, since 1994. Johnson also worked for several years in the banking industry advising small business owners. 

Alexandria Washington, owner of Creative Faces by Alexandria, has become one of the area’s most sought after estheticians for over two decades. 

Jermaine Johnson (no relation to Frank Johnson) is half of the brother duo who founded No Grease Inc. Jermaine and his identical twin Damien opened a single barbershop almost 30 years ago that has now ballooned into a multi-state grooming, education and workforce development empire. 

When starting a business, a critical first step is often overlooked: serious self-inspection. 

“[Ask yourself] ‘Am I willing to be patient with slow growth while my name and reputation grows?’” Washington said. 

Alexandria Washington is owner of Creative Faces by Alexandria.

Washington also said moving past common misconceptions about small business ownership is crucial, adding it isn’t “an easy life with a huge return. Far from it. It’s a true hustle.”

Said Jermaine Johnson: “Entrepreneurship is not glamorous. The reality is that successful business owners earn freedom through responsibility. Before you can enjoy flexibility, you must first build systems, teams, and processes that can function without your constant presence.” 

Jermaine Johnson also notes eager entrepreneurs often overlook the reality that even if profitability is achieved it is rarely instantaneous.

“A common misconception is that success happens overnight,” he said. “Most people [only] see the ribbon cutting, the social media posts, or the grand opening. They rarely see the years of sacrifice, failures, debt, uncertainty, and persistence that came before it.” 

Frank Johnson recommends considering if the lack of a structured schedule is really the best fit. 

“[It’s worth asking] ‘Can I work without supervision?” he said. “‘Am I a self-starter?’”. 

Jermaine Johnson agrees, emphasizing that assessing work ethic is important.

“Business ownership often requires more discipline, more sacrifice, and more accountability than traditional employment,” he says, “Entrepreneurship is not a destination; it's a commitment to lifelong learning.” 

When asked about high failure rates, all three agreed on a common cause: poor preparation. “Lack of capital is the primary contributor,” Frank Johnson said. “Without sufficient capital businesses are forced to constantly operate with their backs against the wall. Whatever capital you think you might need, double or even triple that number.”

Said Washington: “It's improper planning. “Starting off too big. I think in this society we are taught to go big right away but sometimes we have to crawl a bit.” 

Her remedy is plain. 

“Build a name, build a following and build a reputation that will support you and then expand and go bigger.” 

Frank Johnson adds: “Adopting a lean and mean approach allows you to survive on less and stretch dollars further. Make sure your personal finances are in order and you are not overextended.” 

“People underestimate the importance of business planning, marketing, financial management, systems, sales, and customer acquisition,” Jermaine Johnson said, adding entrepreneurs should take caution against overinflating customer demand. 

“Many people start businesses because they have talent, but talent isn’t enough. Success requires mastering both your craft and the business behind the craft.” 

But even the most prudent potential business owner will get nowhere without start-up funds. 

The Federal Reserve reported in 2024 Black applicants seeking small business loans from traditional banks faced both a higher rate of denial and higher interest rates when approved than their white peers. 

There are other resources, though. 

Frank Johnson is vice president at ACCESS Services, a staffing company.

“The reality is that many of the greatest Black businesses in American history were built long before investors came calling,” Jermaine Johnson said. “Entrepreneurs have often had to rely on creativity, relationships, and resourcefulness long before they gained access to traditional capital.” 

Recommended funding sources include credit unions, community development financial institutions, supplier diversity initiatives, mentorship programs and business incubators. 

Seeking capital closer to home is another longstanding method in the Black community.

“The story of Black entrepreneurship is the story of people creating opportunities despite obstacles, building institutions despite exclusion, and finding ways to create value even when resources were limited,” Jermaine Johnson said. 

Although seeking investment from family and friends may be more comfortable, Frank Johnson stresses professionalism and transparency.  

“Tell them, ‘Look, there are no guarantees,’” he said. “You might lose everything.” 

Washington highlights the importance of adequate preparation, knowing your numbers and being prepared to answer questions. 

“Most of the time you do not get second chances to make an impression,” she said, “so you have to make the effort to impress and shine the first time.”  

Jeramine Johnson points out potential investors need to know if the proposed business is truly marketable. 

“A great product does not guarantee a great business,” he said. “[If] you see a problem, you can solve and a value you can create, then you’re on the right path. Capital tends to follow demonstrated value.” 

Said Washington: “Research the field you desire. Are you filling a need in your area?” 

Frank Johnson emphasizes reliability and reputation above all else.  

“It eventually comes down to your personal credibility,” he said. “Can you deliver what you say you can? When you make a mistake, own it. Never oversell yourself.” 

Even after successfully getting a business off the ground, maintaining success is ongoing, which boils down to customer satisfaction. 

Geographical location, product or service availability and competitive pricing can all influence sales, which is why research prior to establishing a business is critical. 

Another important part of customer retention is quality of service. Complaints happen regardless of business size or color of the owners; however, bias targets Black businesses in particular and some of the finger-pointing comes from within the Black community. 

“Customer service skills are lacking,” Washington said. “[They] include making a client feel wanted and special. Follow-up on the satisfaction of clients is also sometimes missing. These are keys to making an impression.”

To better prepare, Washington encourages would-be business owners to find an established practitioner to shadow and create an immersive experience. 

“Work with another more experienced artist to gain the inside scoops of success,” she said. “Learn customer service skills based on your industry.” 

Said Jermaine Johnson: “The issue is more than race alone. Consumers generally support businesses that offer the best combination of quality, service, convenience, consistency, and value. Every business owner should strive to compete and win on excellence.”

Patronizing Black businesses goes beyond “helping a brother out,” though.  

“Supporting quality Black-owned businesses isn't charity,” Jermaine Johnson said. “It's an investment. It's ownership. It's community development. It's helping create the jobs, opportunities, and institutions we want to see in the future.” 

Frank Johnson agrees. 

“It is very disappointing when Blacks do not do a good job of supporting Black businesses,” he said. “I encourage Blacks to give [Black businesses] some grace if you can. In many cases, it is a miracle that they are even in business at all, [and] they need our support to …flourish.” 

When Black enterprises flourish, the success reverberates throughout the community. 

“More Black-owned businesses mean more local ownership, more mentorship, more commercial development, and more wealth circulating through our communities,” Jermaine Johnson said. “It means more examples for young people to see themselves. It means more families building assets and passing opportunities to future generations. When Black businesses succeed, Charlotte succeeds.” 

Washington views more Black entrepreneurs in the marketplace as an opportunity for success. 

“[More businesses] offer more diversity in the nail industry,” she said. “[It] also encourages us to work together more and help each other through education, advancing ourselves and not waiting for others to do it.” 

“Black-owned businesses can help close the racial wealth gap,” Frank Johnson said. “Wealth is not accumulated by working for someone else. Increasing Black business ownership can enhance the city's efforts to build a more resilient local economy.” 

Successful Black entrepreneurship also creates a meaningful foundation for others to build on. 

“We can give our young ones something to aim for,” Washington says, “To [help them] see its possible for our culture to be successful.” 

Jermaine Johnson adds: “Income can change your life. Institutions can change generations. [Our experience] is the story of people repeatedly finding ways to build, create, and contribute, even when the odds suggested otherwise. That spirit is not only Black history. It is American history.” 

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