Boston metro's new business activity among lowest in U.S.
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Boston ranks 86th among large metro areas for new business applications, even though it has the country's 11th-largest population.
Driving the news: Boston saw 11 new business applications per 1,000 residents in 2022, falling below the national average and well below Miami, Orlando, Charleston and other cities that have seen recent population growth.
- That's down from 11.8 new business applications per 1,000 residents in 2021, per new Census Bureau and IRS data, Kavya Beheraj and Alex Fitzpatrick report.
Why it matters: New business applications are an important measure of an area's perceived economic health.
The big picture: Just over 5 million new business applications were filed nationwide in 2022, or 15.1 for every 1,000 residents.
- That's down about 6.6% from 2021.
Zoom in: Worcester and Springfield’s metro areas had even lower levels of new business activity.
- The Worcester metro area had 8.4 new business applications per 1,000 residents, and Springfield had 8.1, both down from their 2021 totals.
Between the lines: Many of the hottest spots for new business applications also have booming populations (remember the sunny states that have been eating Massachusetts' economic lunch?).
Yes, but: A filed application is no guarantee of a healthy, thriving business to follow — but at the very least it's a sign of economic optimism.