From The 2016 State of Women-Owned Businesses Report commissioned by American Express OPEN.
The 2016 State of Women-Owned Businesses Report is now available. WBENC shares our top 10 data trends noted in the report.
There are now 11.3 million women-owned businesses in the U.S., employing nearly 9 million people and generating over $1.6 trillion in revenues.
Women-owned businesses now comprise 38% of the business population, employ 8% of the country’s private sector workforce and contribute 4% of the nation’s business revenues.
Since 2007, there have been 1,072 net new women-owned firms launched each and every day.
Between 2007 and 2016, while the total number of firms increased by 9%, the number of women-owned firms increased by 45% – meaning that over this period the number of women-owned firms grew at a rate fully five times the national average.
The number of women of color who have launched their own business has more than doubled since 2007, to nearly 5 million. They comprise fully 44% of all women-owned firms.
The average minority woman-owned business annual revenues are less than half that of the average non-minority women-owned firm. Overall, women-owned businesses average $143,431 in annual revenue, with non-minority women-owned firms averaging $201,948 in annual revenues and minority women-owned firms averaging $68,982.
Although the share of women-owned firms keeps climbing – from 28% in 2002 to 38% today – their share of employment (8%) and revenues (4%) remains essentially unchanged.
Despite broadening industry diversity over the past two decades, since the 2008 recession the industries with the greatest share of new women-owned firms are in some of the most historically traditional sectors for women:
Other services (which includes hair and nail salons, up 98% compared to 45% overall);
Administrative, support and waste management services (home to janitorial and landscaping businesses, +64%); and
Accommodation and food services (+62%).
9. Since the recession, the 10 fastest-growing states for women-owned firms are:
Florida (up 67%)
South Carolina (53%)
The District of Columbia (51%)
South Dakota (50%)
10. Since the recession, the 10 fastest-growing states in terms of combined economic clout are:
North Dakota, South Dakota, Texas (all tied for first),
Indiana and Wyoming (tied for 5th)
Georgia and Tennessee (tied for 7th)