A report from American Express on women-owned business reported that Delaware ranks high in one key measurement.
According to the annual State of Women-Owned Businesses Report, commissioned by American Express, Delaware and Virginia tied for fourth in employment vitality – a measure of employment growth rate from 2014 to 2019 at women-owned firms. Maine, Minnesota and Indiana ranked one, two and three respectively in the category.
The report noted that women-owned enterprises comprise 42 percent of all businesses employing 9.4 million workers and generating revenue of $1.9 trillion.
in 2019, women with diverse ethnic and geographic backgrounds started an average of 1,817 new businesses a day in the U.S. between 2018 and 2019, down slightly from the record-setting 2018 number of 1,821.
The annual report, based on U.S. Census Bureau data adjusted by Gross Domestic Product data noted:
- The number of women-owned businesses increased 21 percent, while all businesses increased by 9 percent.
- Total employment by women-owned businesses rose 8 percent, while for all businesses the increase was far lower at 1.8 percent.
- Total revenue for women-owned businesses also rose slightly above all businesses: 21 percent, compared to 20 percent respectively.
“The face of entrepreneurship is evolving to include all women, regardless of demographics. Even more impressive is that women are starting businesses on their own terms – whether it be their full-time focus or a part-time activity,” said Courtney Kelso, senior vice president of American Express. “The economic impact of women-owned businesses is undeniable, from the trillions they contribute via revenue to the millions of jobs they provide. We are committed to backing these women entrepreneurs because when they win, we all win.”
The 2019 year report examined how part-time entrepreneurship, often referred to as “sidepreneurship,” is providing additional options to traditional employment and entrepreneurship for women.
Over the last five years, growth in the number of women “ has grown at a rate that is nearly twice as fast as the overall growth in female entrepreneurship: 39 percent compared to 21 percent, respectively. Minority women are responsible for a large portion of that growth from 2014-2019.
In almost every category, women of color are leading the women-owned business charge. Women of color represent 39 percent of the total female population in the U.S. but account for 89 percent of the net new women-owned businesses per day over the past year.
While the number of women-owned businesses grew 21 percent from 2014 to 2019, firms owned by women of color grew 43 percent and African American women-owned firms grew even faster at 50 percent.
The full 2019 State of Women-Owned Businesses Report is available, here.