Industry-Specific Business Formation Trends

An in-depth analysis of business formation trends across different industries reveals fascinating patterns in entrepreneurial activity.

Let’s explore which sectors are leading growth and where new opportunities are emerging.

Industry Formation Analysis

Leading Industries by Volume

Monthly Application Leaders

| Industry | Monthly Applications | Market Share | |———-|———————|————–| | Retail Trade | 42,201 | 27.6% | | Professional Services | 36,537 | 23.9% | | Construction | 28,778 | 18.8% | | Other Services | 25,851 | 16.9% | | Administrative Support | 19,545 | 12.8% |

Volume Analysis

The data reveals clear leaders in business formation:

• Retail Trade dominates with over 42,000 monthly applications
• Professional Services maintains strong second position with 36,500+ applications
• Construction shows consistent high volume near 29,000 monthly applications
• Top 5 sectors account for 152,912 monthly applications

Growth Champions

Fastest Growing Sectors

| Industry | YoY Growth | Trend | Volume Level | |———-|————|——-|————–| | Management of Companies | +19.0% | 🚀 Surging | Moderate | | Utilities | +17.7% | 📈 Strong | Low | | Arts and Entertainment | +16.0% | 📈 Strong | Moderate | | Health Care | +11.7% | 📈 Strong | High | | Retail Trade | +8.4% | ➡️ Stable | Very High |

Growth Pattern Analysis

Several key trends emerge:

• Management Services leads growth at 19.0%
• Utilities shows surprising strength at 17.7%
• Healthcare demonstrates robust growth at 11.7%
• Traditional sectors maintain steady growth rates

Industry-Specific Insights

High-Volume Leaders

Retail Trade

• Volume: 42,201 monthly applications
• Growth: +8.4% year-over-year
• Trend: Consistent growth despite market saturation
• Notable: High proportion of high-propensity businesses

Professional Services

• Volume: 36,537 monthly applications
• Growth: Steady increase
• Trend: Strong in high-growth regions
• Notable: High wage-paying business ratio

Construction

• Volume: 28,778 monthly applications
• Growth: Stable performance
• Trend: Correlates with regional economic growth
• Notable: Strong in southern states

Fastest Growing Sectors

Management of Companies

• Growth Rate: +19.0%
• Key Drivers:
  • Business service demand
  • Corporate restructuring
  • Professional service expansion

Utilities

• Growth Rate: +17.7%
• Key Drivers:
  • Infrastructure development
  • Clean energy initiatives
  • Grid modernization

Healthcare

• Growth Rate: +11.7%
• Key Drivers:
  • Aging population
  • Technology integration
  • Service expansion

Regional Performance

State-Level Analysis

• Florida (53,871 applications): Strong in service industries
• California (45,464 applications): Tech and professional services lead
• Texas (41,465 applications): Diverse industry growth
• New York (25,616 applications): Professional services dominate

Future Outlook

Growth Opportunities

1. Digital Transformation
   • E-commerce expansion in retail
   • Technology integration across sectors
   • Digital service delivery
2. Healthcare Innovation
   • Telehealth services
   • Healthcare technology
   • Specialized care services
3. Sustainable Business
   • Clean energy initiatives
   • Green construction
   • Sustainable retail

Methodology Notes

This analysis uses:

• Monthly business application data
• Year-over-year growth calculations
• Industry classification standards
• Regional formation patterns
• Wage-paying business indicators

Interactive Features

Our industry dashboard above allows you to:

• Compare sector performance
• Track growth patterns
• Analyze volume trends
• Filter by industry type

Data updated monthly. Last update: January 10, 2025