Vermont Ranks #1 Among Small States in Kauffman Foundation’s “Main Street Entrepreneurship” Index
Monday, January 11, 2016
Posted by: Jeff Couture
A report from the Kauffman Foundation focusing on small business activity in states and metropolitan areas ranks Vermont number 1 among 25 smaller U.S. states. The report also lists Vermont in the top five for female business owners, older business owners and younger adult business owners among smaller states.
2015 Kauffman Main Street Entrepreneurship Index finds that small business activity is on the rise in 49 of 50 U.S. states. The index is an indicator of small business activity, presenting trends over the past two decades, focusing on established small businesses (firms older than five years with less than 50 employees) and trends in ownership rates.
The Index measures business activity and the rate of business owners in the economy – the percentage of adults owning a business in a given month; and established small business density – the ratio of established small employer businesses compared to population.
The report divides states in two groups based on size: the 25 largest states by population and the 25 smallest states by population.
Among the 25 largest states: The five states with the highest activity were Minnesota, Colorado, Massachusetts, New York and New Jersey.
Among the 25 smallest states: The states with the highest activity were Vermont, Montana, North Dakota, South Dakota and Wyoming.
Business owner demographic trends for the 25 largest states: The tates with the highest rates of female business owners were Colorado, Minnesota, California, Washington and Wisconsin. States with the highest rates of older adult business owners (ages 55-64) were Colorado, California, Minnesota, Massachusetts and Florida; the areas with the highest rates of young adult business owners (ages 20-34) were Florida, Colorado, Texas, Louisiana and Missouri.
Business owner demographic trends for the 25 smallest states: The states with the highest rates of female business owners were Vermont, Montana, Wyoming, Oregon, and South Dakota. States with the highest rates of older adult business owners (ages 55-64) were South Dakota, Vermont, North Dakota, Montana and Nebraska. The states with the highest rates of young adult business owners (ages 20-34) were South Dakota, North Dakota, Montana, Wyoming and Vermont.
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