From Prison to Business: Entrepreneurship as a Reentry Strategy. Metro Federalism Caucus

The United States has the highest incarceration rate in the world, and as many as a third of Americans have some type of criminal record. Upon reentry, individuals with a justice history, whom referred as returning citizens, face significant barriers to economic security and reintegration into their communities. Among the most formidable barriers to reentry are a disadvantaged living environment, low levels of education, mental health challenges, and stigma that excludes them from job opportunities and other resources. All of these factors contribute to a high recidivism rate among returning citizens and make it harder for them to secure employment. Entrepreneurship presents a promising pathway to economic security and reintegration into communities as it requires minimal formal schooling, provides additional income and control over their livelihoods, and has the potential to uplift the often-low-income communities to which these individuals return. While entrepreneurship has great potential to reduce recidivism and promote economic stability, returning citizens have to overcome several hurdles in their entrepreneurship endeavors, ranging from a lack of access to capital, collateral consequences of having a criminal record, a digital skills gap, and limited access to wraparound support services. The paper will highlight two entrepreneurship training initiatives in Missouri and Washington, D.C. [This paper is a collaboration with the Association for Enterprise Opportunity (AEO).]