Three years of small business boom is unprecedented

Author: Rhett Battle

A sure sign of the direction of the economy is the number of small business openings. The White House announced Thursday that an unprecedented number of entrepreneurs have opened stores in their homes or on Main Streets across the country over the past three years.

“Every time someone starts a new small business, it is an act of hope and confidence in our economy,” President Joe Biden said in a statement. “Today, we learned that Americans filed 16 million new business applications in the first three years of my administration. This is 16 million acts of hope, the most in history. This is the growth of

The U.S. Census Bureau has been tracking business formation statistics since 2004, and data released Thursday showed that the roughly 16 million new business filings recorded since the start of the Biden-Harris administration are the highest in the average monthly filing flow. This corresponds to an increase of approximately 85%. In fact, the monthly average of 440,000 new business applications over the past three years from 2017 is up 46% from the 2020 total average.

Keith Hall, President and CEO of the National Association of Self-Employed Persons (NASE), a leading advocate and resource for the nation's self-employed and small business communities, said: Masu. The fact that it has spread across the country is great news not only for our communities, but also for our local and national economies. ”

“As this country continues to emerge from the COVID-19 pandemic and recover from recent economic upheavals, we want to encourage all new business owners, especially Black, Hispanic, AAPI, Native, and entrepreneurial entrepreneurs. We applaud the courage and grit of other business owners who continue to do so in the face of adversity,” said Yin McGuire, CEO and Chair of the National Minority Supplier Development Council. “The resilience these leaders have shown highlights the American spirit and creates new economic opportunities and paths to success not just for them, but for their communities and the nation as a whole.”

The increase in entrepreneurship has been particularly pronounced among women, Latinos, and Black Americans. Black business ownership is increasing at the fastest pace in 30 years, with the percentage of businesses owned by Black households increasing from 5% to 11% between 2019 and 2022. It has more than doubled. Additionally, Latino business ownership rose from 7% to 10% during 2019. By 2022, the pace will be the fastest in more than a decade. However, from 2019 to 2023, growth outpaced male-owned businesses by 94%, with the biggest growth likely to be seen in the number of women-owned businesses.

“The president's announcement that 16 million new small businesses have been created in the past three years is a sign that the U.S. economy is working for entrepreneurs and that business owners have confidence in the economy. “It's a manifestation,” said President and CEO Chiling Tong. Member of the National Asian Pacific Islander American Chamber of Commerce (National ACE). “AAPI businesses are benefiting from a strong economy, with more than 2.91 million AAPI-owned businesses growing, driving job creation and economic growth in our communities.”

“As new business applications and establishment filing rates continue to rise under President Biden, more Americans than ever before own a business,” said Isabel Casillas Guzman, Secretary of the U.S. Small Business Administration (SBA). I'm pursuing my dream.” “Last year alone, Americans across a wide range of industries filed a record 5.5 million new business applications, bringing the total under this administration to 16 million, a record number. ’s great diversity continues to drive entrepreneurship, with Black, Latinx, and women founders starting businesses at higher rates than ever before. We will continue to work to harness the optimism and ingenuity inherent in our home to increase access to the resources needed to launch and grow resilient new businesses.”

Although there are many factors contributing to this unprecedented growth, there is a general feeling among small business owners that this growth would not have occurred under laissez-faire capitalism. The efforts of the Biden-Harris Administration's Investment in America Agenda appear to be encouraging small businesses across the country.

“Policies like the Bipartisan Infrastructure Act will advance this positive momentum. It will create a wealth of new opportunities for small businesses while strengthening America's future,” said Walt Loewen, president and co-chair of Small Business for America's Future. of the Susquehanna Glass Company of Lancaster, Pennsylvania.

This growth is coupled with other positive aspects of our economy, including 14 million new jobs over the past three years and an unemployment rate below 4% for the longest period in more than 50 years. As we begin 2024, our nation's main focus should be on building on these successes.

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