Tennessee was the only state that didn’t show an increase in established business activity compared to 2014.
Main Street businesses nationwide made a comeback in 2015, according to a recent report from the Kauffman Foundation. Tennessee, however, was the only state that didn’t show an increase in established business activity compared to 2014.
The 2015 Kauffman Main Street Entrepreneurship Index analyzed small business activity in two ways: the percentage of business owners in the overall population and the ratio of established small businesses divided by an area’s total population.
Tennessee ranked 45th in startup activity and 23rd in main street entrepreneurship (established businesses) among larger states. Of the total state population, 5.44 percent own a business as their main job, and there are 829.3 established small businesses—companies older than five years employing fewer than 50 people—per 100,000 residents.
“Nashville is booming, while indeed other areas of the state are experiencing mixed results,” said NFIB/Tennessee State Director Jim Brown.
“Following a post-recession downward and stagnant trend in small business activity, we’re now seeing Main Street Entrepreneurship begin to rise,” E.J. Reedy, director of Research and Policy at the Kauffman Foundation, says in the report’s news release. “This obviously is good news given that these small businesses make up 63 percent of all employer firms nationally.”
To view the full report, visit http://www.kauffman.org/microsites/kauffman-index.