Where Americans are starting new businesses
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New U.S. business applications hit a high water mark in 2023, with notable hot spots in the Southeast and Mountain West.
Why it matters: Small businesses are a cornerstone of the U.S. economy, employing tens of millions of Americans.
Driving the news: Americans filed nearly 5.5 million new business applications in 2023, per the U.S. Census Bureau, or about 16.3 for every 1,000 residents.
- That's up from about 5.1 million in 2022 and 3.5 million in 2018, before the COVID-19 pandemic.
- About 1.8 million of 2023's new businesses are highly likely to hire workers, per the bureau, compared to around 1.3 million in 2018.
Zoom in: Wyoming (100.1), Delaware (53.4) and Florida (29.4) had the highest rates of new business applications per 1,000 residents in 2023.
- The first two are perennial new business favorites for legal and tax reasons.
Stunning stat: Nearly 85% of consumers say they'll probably shop at a small business this holiday season, a new American Express survey finds, up 11 points over the last decade.
Reality check: Filling out the paperwork for a new firm is just one step, but it's at least a sign of confidence that small business success is possible.
