Austin Ranked 3rd Among 53 U.S. Metros With The Most Start-up Businesses
Start-up businesses are notable in U.S. economy. Thousands of entrepreneurs launch new businesses, create jobs with innovation and efficiency in the market. Unfortunately, significant factors are contributing to slowing down these start-up businesses, such as economic downturns, recession effect, and this past year the COVID-19 outbreak. The pandemic has brought economic deceleration and has created more complications to businesses, especially in hospitality industries, restaurants, hotels, travel and tourism, theme parks shut down due to implementation of safety protocols. On the other hand, specific initiatives have become more in demand. Other businesses are coping up such as e-commerce, online education, work from home is creating opportunities.
According to U.S. Census Bureau's 2018 Business Dynamics Statistics, Austin was in 3rd spot among 53 U.S. Metros with the most start-up businesses in the large metro category. With a start-up formation rate of 10.61%, new jobs were created at a rate of 16.49%. Since 2010, construction, information, real estate, rental, and lease are primary factors that reach almost 35%. Researchers calculated the stream five-year average start-up formation and looked over the activity's impact on job growth. Start-up businesses offer friendly policies, low taxes, low operating costs, and population growth.