A Pilot Study of Minority, Beginning, and Young Logging Business Owners in the Carolinas and Surrounding States, USA

Abstract

Abstract The logging industry in the United States faces a demographic shift with aging owners and a decline in intergenerational business transfers. This pilot study explores the potential for new businesses led by minority groups, beginning loggers, and young entrepreneurs in the southeastern United States. Interviews with nine minority, beginning, and young (MBY) logging business owners and four forestry/logging associations uncovered challenges, including high startup costs, limited access to financing and funds, difficulty hiring skilled workers, low profit margins, and a lack of established professional networks. These MBY loggers are well educated and exhibit productive businesses, with an average investment of between $100,000 and $499,999. Proposed solutions to help more MBY logging business owners get started encompass government grants, low-interest loans, marketing initiatives, and legislative measures. Results are limited, and this study serves as a first glimpse into MBY logging business owners’ challenges; additional attention is needed for this population of logging business owners. Study Implications: Understanding the present status and challenges faced by minority, beginning, and young (MBY) logging business owners is instrumental for the industry, as the trend of intergenerational logging business transfer is declining. The study’s results suggest that support from the forest products industry and the government, such as government grants, low-interest loans, and strategic marketing, can enhance the sustainability of MBY logging businesses. These measures, coupled with legislative support, could help to address immediate challenges, such as high startup costs, and lay the groundwork for fostering a resilient logging industry.