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entrepreneurship

and the economy

.km.

Ew i ng M a r i on K a u f f M a n f ou nd a t i on

4 8 0 1 r oc K h i ll r oa d , K a ns a s c i t y , M i s s ou r i 6 4 1 1 0t El : 8 1 6 - 9 3 2 - 1 0 0 0 . k m .

From 19802005, frms less than fve years old accounted or all net job growth in the United SBusiness Dynamics Statistics Briefng: Jobs Created rom Business Startups in the United Sta

January 2009

Excluding startups, young frmsdefned as one to fve years o ageaccounted or nearly twthirds o job creation in 2007.Where Will the Jobs Come From?, November 2009

While only hal o new frms survive to age fve, 80 percent o the jobs created by the frms survfve years.

Ater Inception: How Enduring is Job Creation by Startups?, August 2010

New frms in the United States have generated about 3 million new jobs every year, but recentcohorts have perormed much worse, creating only 2.3 million jobs in 2009.Starting Smaller; Staying Smaller: Americas Slow Leak in Job Creation, July 2011

More than hal o the companies on the 2009 Fortune500 list were launched during a recessiobear market, along with nearly hal o the frms on the 2008 Inc. list o Americas astest-growicompanies.The Economic Future Just Happened, June 2009

In 2010, an average o 0.34 percent o adults created a new business each month, equaling ab565,000 new businesses per month.Kauman Index o Entrepreneurial Activity 1996-2010, March 2011

Firm ormation in the United States is remarkably constant over time, with the number o newcompanies varying little rom year to year.Exploring Firm Formation: Why is the Number o New Firms Constant?,

January 2010

I 3060 more new billion dollar frms were launched each year, it would permanently increase U.S. GDP by one percentage point.Inventive Billion Dollar Firms: A Faster Way to Grow, December 2010

Contrary to popularly held assumptions, the highest rate o entrepreneurial activity belongs to t5564 age group over the past decade. The 2034 age bracket has the lowest.The Coming Entrepreneurship Boom, June 2009

Most high-tech ounders come rom middle-class or upper-lower-class backgrounds, are well-educated, and married with children.The Anatomy o an Entrepreneur: Family Background and Motivation, July 2009

Despite the act that about 46 percent o the workorce and more than 50 percent o collegestudents are emale, they represent only about 35 percent o startup business owners.Overcoming the Gender Gap: Women Entrepreneurs as Economic Drivers, September 2011

Fity-our percent o the nations Millennials either want to start a business or already havestarted one.Young Invincibles Policy Brie, November 2011

Hail to tHeJob Creators:

tHe startuppHenomenon:

(over)

tHeDemograpHiCs:

http://www.kauffman.org/research-and-policy/bds-jobs-created.aspxhttp://www.kauffman.org/research-and-policy/where-will-the-jobs-come-from.aspx?utm_source=Alerts&utm_medium=Opticast&utm_campaign=HOTTEST_RESEARCHhttp://www.kauffman.org/research-and-policy/after-inception-how-enduring-is-job-creation-by-startups.aspxhttp://www.kauffman.org/newsroom/new-firms-are-generating-and-holding-onto-substantially-fewer-jobs.aspxhttp://www.kauffman.org/research-and-policy/the-economic-future-just-happened.aspxhttp://www.kauffman.org/research-and-policy/kauffman-index-of-entrepreneurial-activity.aspxhttp://www.kauffman.org/research-and-policy/exploring-firm-formation.aspxhttp://www.kauffman.org/newsroom/new-kauffman-study-finds-as-few-as-30-new-billion-dollar-firms-can-significantly-accelerate-gdp-growth.aspxhttp://www.kauffman.org/newsroom/baby-boom-generation-is-driving-an-entrepreneurial-boom-toward-economic-growth.aspxhttp://www.kauffman.org/research-and-policy/the-anatomy-of-an-entrepreneur.aspxhttp://www.kauffman.org/newsroom/untapped-potential-for-expanding-womens-entrepreneurship-holds-promise-to-grow-us-economy.aspxhttp://www.kauffman.org/newsroom/millennials-want-to-start-companies-when-economy-rebounds-poll-says.aspxhttp://www.kauffman.org/newsroom/millennials-want-to-start-companies-when-economy-rebounds-poll-says.aspxhttp://www.kauffman.org/newsroom/untapped-potential-for-expanding-womens-entrepreneurship-holds-promise-to-grow-us-economy.aspxhttp://www.kauffman.org/research-and-policy/the-anatomy-of-an-entrepreneur.aspxhttp://www.kauffman.org/newsroom/baby-boom-generation-is-driving-an-entrepreneurial-boom-toward-economic-growth.aspxhttp://www.kauffman.org/newsroom/new-kauffman-study-finds-as-few-as-30-new-billion-dollar-firms-can-significantly-accelerate-gdp-growth.aspxhttp://www.kauffman.org/research-and-policy/exploring-firm-formation.aspxhttp://www.kauffman.org/research-and-policy/kauffman-index-of-entrepreneurial-activity.aspxhttp://www.kauffman.org/research-and-policy/the-economic-future-just-happened.aspxhttp://www.kauffman.org/newsroom/new-firms-are-generating-and-holding-onto-substantially-fewer-jobs.aspxhttp://www.kauffman.org/research-and-policy/after-inception-how-enduring-is-job-creation-by-startups.aspxhttp://www.kauffman.org/research-and-policy/where-will-the-jobs-come-from.aspx?utm_source=Alerts&utm_medium=Opticast&utm_campaign=HOTTEST_RESEARCHhttp://www.kauffman.org/research-and-policy/bds-jobs-created.aspx

7/31/2019 Entrepreneur & Economy Fast Facts

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Ew i ng M a r i on K a u f f M a n f ou nd a t i on

4 8 0 1 r oc K h i ll r oa d , K a ns a s c i t y , M i s s ou r i 6 4 1 1 0t El : 8 1 6 - 9 3 2 - 1 0 0 0 . k m .

O new frms

70 percent are men-owned; 30 percent are women-owned 81 percent are white-owned 9 percent are Arican-American-owned 6.6 percent are Hispanic-owned 4 percent are Asian-owned

5 percent are owned by Native Americans, Pacifc Islanders, and individuals o othracial groupsThe Kauman Firm Survey, March 2008

Only 16 percent o the astest-growing and most successul companies in the UnitedStates had venture investors.Right-Sizing the U.S. Venture Capital Industry, June 2009

External debt markets are increasingly important to startups as they age, providingnearly 67 percent o fnancing in 2008 compared to 40 percent in 2004, their frst yeao operation.

An Overview o the Kauman Firm Survey: Results rom the 20042008 Data,May 2010

According to 2007 data, new businesses have a higher propensity to use websites(51.5 percent compared to 24.8 percent o all frms) and to sell online (26.8 percentcompared to 6.0 percent o all frms), thus impacting capitalization and longevity.Casting a Wide Net: Online Activities o Small and New Businesses in the UnitedStates, October 2011

In 2010, the immigrant rate o entrepreneurial activity0.62 percentwas substantihigher than the native-born U.S. population0.28 percent.Kauman Index o Entrepreneurial Activity 1996-2010, March 2011

More than a quarter o technology and engineering companies started inthe United States rom 1995 to 2005 had at least one key ounder who was oreign-b

Education, Entrepreneurship, and Immigration: Americas New ImmigrantEntrepreneurs, Part II, June 2007

Foreign nationals residing in the United States were named as inventors orco-inventors in 25.6 percent o international patent applications fled in the U.S. in 20Intellectual Property, the Immigration Backlog, and a Reverse Brain-Drain: AmericNew Immigrant Entrepreneurs, Part III, August 2007

Fity-eight percent o respondents say the government should do more to encourageindividuals to start businesses, and 35 percent think the laws in America make it moredifcult to start a business.Kauman Foundation Survey o Entrepreneurs, September 2009

Seventy-one percent o entrepreneurs do not expect to create new jobs in 2010. Morethan one-third say it is because the economy has taken a toll on their business.Poll on Entrepreneurship, January 2010

sHow tHemtHe money:

tHeimmigrantForCe:

governmentanD tHereCovery:

Kauffman FastFacts entrepreneurship and the economy

CFdd D rc b mk

3M

Adobe Systems

Amgen

Apple

Bath and Body Works

BET

Broadcom

Bualo Wild Wings

CNN

Chevron

Dave and Busters

Disney

Electronic Arts

Enterprise Rent-A-CarExxon Mobil

Gallup

Genentech

General Electric

Genzyme

Guess

Hyatt

IBM

Johnson & Johnson

Krat

The Learning Company

Lotus Sotware

Merck

Microsot

OReilly Auto Parts

Pizza Hut

Princeton Review

QuikTrip

Quiznos

Scottrade

United Technologies

Urban Outftters

Valero

Whole Foods

v.112211

All studies can be downloaded at www.kauffman.org

http://www.kauffman.org/kfs/http://www.kauffman.org/research-and-policy/right-sizing-the-venture-capital-industry.aspxhttp://www.kauffman.org/research-and-policy/An-Overview-of-the-Kauffman-Firm-Survey-2004-2008.aspxhttp://www.kauffman.org/research-and-policy/An-Overview-of-the-Kauffman-Firm-Survey-2004-2008.aspxhttp://www.kauffman.org/research-and-policy/An-Overview-of-the-Kauffman-Firm-Survey-2004-2008.aspxhttp://www.kauffman.org/newsroom/startup-companies-leading-transition-to-online-business-activities.aspxhttp://www.kauffman.org/newsroom/startup-companies-leading-transition-to-online-business-activities.aspxhttp://www.kauffman.org/research-and-policy/kauffman-index-of-entrepreneurial-activity.aspxhttp://www.kauffman.org/research-and-policy/education-entrepreneurship-and-immigration.aspxhttp://www.kauffman.org/research-and-policy/education-entrepreneurship-and-immigration.aspxhttp://www.kauffman.org/research-and-policy/reverse-brain-drain.aspxhttp://www.kauffman.org/research-and-policy/reverse-brain-drain.aspxhttp://www.kauffman.org/newsroom/entrepreneurs-gloom-contradicts-wall-street-optimism.aspxhttp://www.kauffman.org/entrepreneurship/2010-state-of-entrepreneurship-address.aspxhttp://www.kauffman.org/entrepreneurship/2010-state-of-entrepreneurship-address.aspxhttp://www.kauffman.org/newsroom/entrepreneurs-gloom-contradicts-wall-street-optimism.aspxhttp://www.kauffman.org/research-and-policy/reverse-brain-drain.aspxhttp://www.kauffman.org/research-and-policy/education-entrepreneurship-and-immigration.aspxhttp://www.kauffman.org/research-and-policy/kauffman-index-of-entrepreneurial-activity.aspxhttp://www.kauffman.org/newsroom/startup-companies-leading-transition-to-online-business-activities.aspxhttp://www.kauffman.org/research-and-policy/An-Overview-of-the-Kauffman-Firm-Survey-2004-2008.aspxhttp://www.kauffman.org/research-and-policy/right-sizing-the-venture-capital-industry.aspxhttp://www.kauffman.org/kfs/