Clear all

13 results found

reorder grid_view

The Kauffman Index: Startup Activity National Trends - 2016

August 4, 2016

This report provides a broad index measure of business startup activity in the United States. It is an equally weighted index of three normalized measures of startup activity:The Rate of New Entrepreneurs in the economy, calculated as the percentage of adults becoming entrepreneurs in a given month.The Opportunity Share of New Entrepreneurs, calculated as the percentage of new entrepreneurs driven primarily by "opportunity" vs. "necessity."The Startup Density of a region, measured as the number of new employer businesses normalized by total business population.

The Kauffman Index: Startup Activity - Metropolitan Area and City Trends 2015

June 2, 2016

How can I actually measure the entrepreneurial activity in my region? This is a question we at the Kauffman Foundation often hear from economic and policy leaders. As cities around the globe rally to foster entrepreneurship, the challenge of how to consistently measure and benchmark progress remains largely unanswered. While anecdotal evidence abounds, most ecosystems struggle to answer straightforward, yet often elusive, questions: How many new startups does our city or state have? How much are our ventures growing? How many of our businesses are surviving? To begin to answer these questions and address this challenge, we introduce the new Kauffman Index of Entrepreneurship, the first and largest index tracking entrepreneurship across city, state, and national levels for the United States. In this release, we introduce the Kauffman Index: Startup Activity—the first of various research installments under the umbrella of the new Kauffman Index of Entrepreneurship.For the past ten years, the original Kauffman Index— authored by Robert W. Fairlie—has been an early indicator for entrepreneurship in the United States, used by entrepreneurs and policymakers, from the federal to state and local levels. The Kauffman Index also has been one of the most requested and far-reaching entrepreneurship indicators in the United States and, arguably, the world. In the policy world, the Index has been referenced in multiple testimonies to the U.S. Senate and House of Representatives, by U.S. Embassies and Consulates across various countries—including nations like Spain, Ukraine, and United Kingdom—by multiple federal agencies, by state governments and governors from fifteen states— from Arizona to New York—and by the White House's office of the President of the United States. On the academic side, more than 200 research papers quote the Kauffman Index. In media circles, the Kauffman Index has been highlighted in more than 100 media channels, including most major publications like The New York Times, The Wall Street Journal, TIME, CNN, the Financial Times, and Harvard Business Review. Originally, the Kauffman Index tracked one of the earliest measures of business creation: When and how many people first start working for themselves, becoming entrepreneurs. Now, we are expanding it to include other dimensions of entrepreneurship. The new and expanded Kauffman Index of Entrepreneurship 2015 remains focused primarily on entrepreneurial outcomes, as opposed to inputs. That means we are more concerned with actual results of entrepreneurial activity—things like new companies and growth rates.The Kauffman Index: Startup Activity algorithm presented in this report takes into account three variables:* Rate of New Entrepreneurs* Opportunity Share of New Entrepreneurs* Startup Density

The Kauffman Index: Main Street Entrepreneurship - Metropolitan Area and City Trends 2015

December 8, 2015

"The Kauffman Index: Main Street Entrepreneurship" is a novel indicator of small business activity in the United States, integrating high-quality sources of timely information into one composite indicator. The Index captures business activity in all industries, and is based on both a nationally representative sample size of roughly 900,000 responses each year and on the universe of all employer businesses in the United States. The focus here is on established small businesses—employer firms older than five years and with fewer than fifty employees—and the business owners based on a location. As such, we examine both the business owners and the businesses they own. Main Street entrepreneurship is an important aspect of the U.S. economy and society. Established small businesses make up 63 percent of all employer firms in the United States1 and are a source of local economic activity. Entrepreneurship is a multi-dimensional phenomenon, and the Kauffman Index of Entrepreneurship series—the umbrella initiative for all Kauffman Index reports—studies and analyzes entrepreneurship from various perspectives. Another report, the Kauffman Index: Startup Activity, seeks to view the beginnings of entrepreneurship, focusing on new business creation, market opportunity, and startup density. This series, the Kauffman Index: Main Street Entrepreneurship, takes a different angle and attempts to understand prevalence of local small business. This report presents trends in Main Street entrepreneurship activity for the forty largest metropolitan areas in the United States by population. Nationwide Main Street entrepreneurship activity—an indicator of the number of established small businesses and the number of business owners in a location— experienced a large increase in 2015, reversing a six-year downward and stagnant trend in the United States.

Kauffman Index of Entrepreneurial Activity: 1996-2012

April 1, 2013

The Kauffman Index of Entrepreneurial Activity is a leading indicator of new business creation in theUnited States. Capturing new business owners in their first month of significant business activity, this measure provides the earliest documentation of new business development across the country. The percentage of the adult, non-business owner population that starts a business each month is measured using data from the Current Population Survey (CPS). In addition to this overall rate of entrepreneurial activity, separate estimates for specific demographic groups, states, and select metropolitan statistical areas (MSAs) are presented. The Index provides the only national measure of business creation by specific demographic groups. New 2012 data allow for an update to previous reports, with consideration of trends in the rates of entrepreneurial activity over the seventeen-year period between 1996 and 2012. The Kauffman Index reveals important shifts in the national level of entrepreneurial activity and shifts in the demographic and geographic composition of new entrepreneurs across the country. Also, new for 2012 is the reporting of trends in entrepreneurial activity among veterans. The estimates reported here for veterans represent some of the first evidence on business creation for this group.

The Kauffman Index of Entrepreneurial Activity (KIEA) by Veteran Status: 1996-2011

November 1, 2012

The Kauffman Index of Entrepreneurial Activity (KIEA) is a leading indicator of new business creation in the United States. Capturing new business owners in their first month of significant business activity, this measure provides the earliest documentation of new business development across the country. The percentage of the adult, non-business owner population that starts a business each month is measured using data from the Current Population Survey (CPS). This research brief presents new data on entrepreneurship rates by veteran status. Previously, the KIEA reports have presented estimates of entrepreneurship rates by gender, race, nativity, age group, education level, industry, state, and metropolitan statistical area (MSA), but have not presented results by veteran status. New data extracts for every month of CPS data from 1996 to 2011 were downloaded and compiled to create estimates of entrepreneurship rates by veteran status.

Kauffman Index of Entrepreneurial Activity, 1996-2010

March 7, 2011

Analyzes characteristics of new business owners in 2010 and entrepreneurship trends by demographics, industry, state, and metro area. Finds entrepreneurial activity up and employer business creation down, suggesting an increase in sole proprietorships.

Kauffman Index of Entrepreneurial Activity, 1996-2009

May 19, 2010

Analyzes demographic and geographic characteristics of new business owners in 2009 and entrepreneurship trends by business type and industry. Finds that entrepreneurship rates rose among older African Americans and fell in Western states.

Kauffman Index of Entrepreneurial Activity, 1996-2008

April 30, 2009

Analyzes the demographic and geographic composition of new business owners in 2008 and trends by business type and industry. Finds increases in Latino/Hispanic, Asian-American, and immigrant business owners and low- and medium-income potential businesses.

Patterns of Financing: A Comparison Between White- and African-American Young Firms

February 25, 2009

Based on Kauffman Firm Survey data, examines differences in start-up and follow-on capital injections into and capital use by firms with African-American and white owners. Explores how access to capital affects the racial gap in new business formation.

Kauffman Index of Entrepreneurial Activity, 1996-2007

April 24, 2008

Analyzes the demographic and geographic composition of new business owners in 2007 and finds that entrepreneurial activity rates rose substantially for immigrants and Latinos but fell for Asians. Updates trends with 2007 Current Population Survey data.

Kauffman Index of Entrepreneurial Activity, 1996-2006

May 23, 2007

Reveals subtle shifts in the demographic and geographic composition of new entrepreneurs across the country, and finds that Asians, Latinos, and immigrants far outpaced native-born Americans in entrepreneurial activity in 2006.

Kauffman Index of Entrepreneurial Activity: National Report 1996-2005

May 1, 2006

Measures the rate of business creation in the U.S., at the individual owner level. Includes separate estimates for specific demographic groups.