U.S. Census Bureau Reports U.S. Economy Added Nearly 245,000 Nonemployer Businesses in 2012
FOR IMMEDIATE RELEASE: THURSDAY, APRIL 24, 2014
U.S. Census Bureau Reports U.S. Economy Added Nearly 245,000 Nonemployer Businesses in 2012
The
number of businesses without paid employees in the U.S. reached 22.7 million in
2012, up 1.1 percent from 2011, according to statistics released today by the
U.S. Census Bureau. This marks the third straight annual increase in
nonemployer businesses, which are businesses with no paid employees, annual
business receipts of $1,000 or more ($1 or more in the construction sector) and
are subject to federal income taxes.
Nearly
all industry sectors that make up nonemployer businesses experienced growth in
the number of establishments and receipts, according to findings from the
report released today. Nonemployer
Statistics: 2012
includes data on nearly 450 industries in metropolitan areas, counties, states
and nationwide.
“Nonemployer
businesses represent entrepreneurship in perhaps its purest
form, including the classic ‘mom and pop’ shops and people running
businesses out of their homes,” said William Bostic Jr., the associate director
for economic programs at the Census Bureau.
This
release covers 19.6 million sole proprietorships, 1.4 million corporations and
1.7 million partnerships, which account for the total number of nonemployer
businesses.
Florida
had the largest increase in nonemployer businesses, with 57,978 added in 2012.
California (39,051), Texas (38,504) and New York (15,207) had the next highest
increases. California still had the largest number of nonemployer businesses
with 2.9 million.
Among
counties, Los Angeles County, Calif., added the most nonemployer businesses
(17,741). Miami-Dade County, Fla. (13,842), Broward County, Fla. (9,132),
Harris County, Texas (7,372) and Orange County, Calif. (5,909) had the next
largest increases.
Nearly
all industry sectors saw growth, with the retail trade sector gaining the
largest number of establishments, adding 57,154 in 2012 (a 3.1 percent increase).
The construction sector, however, declined by 41,171 establishments (a loss of
1.7 percent), and the health care and social assistance sector lost 25,071
establishments (a loss of 1.3 percent).
Other highlights:
Nation
·Total
annual receipts for nonemployer businesses were $1.0 trillion in 2012, an
increase of $41.3 billion from 2011. There has been a continued increase in the
number of nonemployer businesses since 2009 when there were 21.7 million
locations reported.
States
·California
had the highest total receipts, with $149.4 billion. Texas had the second
highest receipts with $97.1 billion, followed by New York with $77.4 billion.
·Florida
had the highest percentage increase in the number of nonemployer locations at
3.4 percent. Hawaii (3.2 percent), the District of Columbia (2.8 percent) and
Louisiana (2.8 percent) followed.
Counties
·Los
Angeles County, Calif., showed the largest total nonemployer receipts with
$47.2 billion in 2012.
·Travis
County, Texas, up 9.1 percent from 2011, had the largest percent increase in
receipts. Gwinnett County, Ga. (8.3 percent), Miami-Dade County, Fla. (8.2
percent), Dallas County, Texas (7.8 percent) and Clark County, Nev., (7.8
percent) followed.
-X-
Nonemployer statistics originate from Internal Revenue Service tax return
information. The data are subject to nonsampling error, such as errors of
self-classification by industry on tax forms, as well as errors of response,
nonreporting and coverage. Values provided by each firm are slightly modified
to protect the respondent's confidentiality. Further information about
methodology and data limitations is available at <http://www.census.gov/econ/nonemployer/methodology.htm>.