It turns out that not only are businesses owned by women driving the American economy but the ladies are also the driving force behind the explosive growth of sidepreneurship.
The 2019 State of Women-Owned Businesses Report, commissioned by American Express, finds the number of women-owned businesses increased 21% since 2014 to 12.9 million in 2019.
These businesses are vital to the U.S. economy, employing 9.4 million people and generating $1.9 trillion in revenue.
The annual report analyzes industry, revenue and employment size at the national, state and metropolitan levels to illustrate the impact women-owned businesses have on the U.S. economy.
This year’s report also looks at part-time entrepreneurship, often referred to as “sidepreneurship.”
Over the last five years, growth in the number of women sidepreneurs has nearly doubled overall growth in entrepreneurship: 39% compared to 21%, respectively.
- A number of net new women-owned businesses per day—1,817—were created over the last year, and women of color account for 50% of those businesses.
- Since 2014, the number of firms owned by women of color grew at double the rate (43%) than women-owned businesses overall (21%).
o Businesses owned by African American women grew even faster at 50%.
- Between 2014 and 2019, growth in the number of women sidepreneurs was nearly double overall growth in women entrepreneurs: 39% compared to 21% respectively.
- The highest rate of growth in the number of sidepreneur ventures is among African American/Black women. It is triple that for all businesses over the past five years: (99%) compared to (32%).
- The top-ranking states where women-owned businesses most increased their economic clout – a measure of combined growth rates in number of firms, employment and revenues – since 2014 are:
o Georgia, Oregon, Idaho/Nevada (tied for third), South Dakota
- The top five-ranking statesshowing the highest employment vitality – a measure of employment growth rate from 2014 to 2019 and average number of employees at women-owned firms – are:
o Maine, Minnesota, Indiana, Delaware/Virginia (tied for fourth place)
- The industries that saw the most growth in the number of women-owned firms since 2014 are: utilities (160%), construction (68%), information (36%), other services (29%), and arts, entertainment and recreation (23%).
Check out the entire report here!
Jay Jay Ghatt is also editor at Techyaya.com, founder of the JayJayGhatt.com and JayJayGhatt.com where she teaches online creators how to navigate digital entrepreneurship and offers Do-It-For-You Blogging Service. She manages her lifestyle sites BellyitchBlog, Jenebaspeaks and JJBraids.com and is the founder of BlackWomenTech.com 200 Black Women in Tech On Twitter. Her biz podcast 10 Minute Podcast is available on iTunes and Player.fm. Follow her on Twitter at @Jenebaspeaks. Buy her templates over at her legal and business templates on Etsy shop!