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EMBARGOED UNTIL: JANUARY 29, 1996 AT 12:15 P.M. (MONDAY) Public Information Office CB96-07 301-457-3030 301-457-4067 (TDD) Valerie Strang Eddie Salyers 301-763-5726 Video News Release: Monday, January 29, 2-2:30 p.m. EST Telstar 402, Transponder 13, Audio 6.2/6.8 Tuesday, January 30, 2-2:30 p.m. EST Galaxy 6, Transponder 18, Audio 6.2/6.8 ONE-THIRD OF NATION'S BUSINESSES OWNED BY WOMEN, CENSUS BUREAU SAYS Washington, D.C.--EMBARGOED UNTIL: JANUARY 29, 1996 AT 12:15 P.M. (MONDAY) - The number of women-owned businesses in the United States reached 6.4 million in 1992, representing one-third of all domestic firms and 40 percent of all retail and service firms. Businesses owned by women generated $1.6 trillion in business revenues and employed 13.2 million people. About 19 percent of these were businesses with paid employees, averaging 10.6 employees and $1.2 million in receipts per firm. This is according to a report from the Commerce Department's Census Bureau entitled, "1992 Women-Owned Businesses" (WB92-1), that will be published later this year. Secretary of Commerce Ronald H. Brown said, "These findings confirm that women-owned businesses are substantial and growing contributors to the nation's economy, particularly in terms of job creation." Nearly 520,000 of the businesses owned by women were "C" corporations which were covered in this survey for the first time in 1992. They include all types of corporations except subchapter S corporations, and tend to be larger business operations. In 1992, women-owned "C" corporations: - Generated $932 billion in revenues, nearly 60 percent of all women-owned business revenues. - Included over 426,000 employer firms, about 82 percent of the women-owned "C" corporations, with 7 million employees and payrolls of $154 billion. Women-owned "C" corporations were active in all major kinds of businesses, ranging from 22 percent each in mining and manufacturing businesses, to 31 percent in retail trade. Of the more than 2 million "C" corporations in the United States, women owned nearly 26 percent and their businesses contributed nearly 9 percent of all revenues for the year. In addition to "C" corporations, women owned 5.9 million sole proprietorships, partnerships, and subchapter S corporations in 1992. Subchapter S corporations have no more than 35 shareholders and are not taxed as corporations. In 1992, these women-owned "non-C" businesses: - Generated nearly $643 billion in revenues, over 40 percent of the total for all women-owned businesses. - Included some 818,000 employer firms, 14 percent of all women-owned "non-C" businesses, with 6.3 million employees and payrolls of nearly $105 billion. - Were predominantly retail and service businesses, accounting for over 72 percent of women-owned unincorporated businesses and subchapter S corporations. Previous surveys have covered women-owned unincorporated businesses and subchapter S corporations, and in the past five years the number of women-owned "non-C" businesses has increased 43 percent (up from 4.1 million in 1987). In addition, between 1987 and 1992: - Growth rates for women-owned firms were above average in several "nontraditional" business sectors, including construction (up over 50 percent) and wholesale trade (up over 85 percent). - Receipts for women-owned "non-C" businesses more than doubled, from a total of $278 million in 1987. - Firms with 100 or more employees increased nearly 130 percent, to more than 6,660 businesses in 1992. Nationwide, of some 17 million sole proprietorships, partnerships and subchapter S corporations in 1992, more than one-third were women-owned and their businesses generated more than 19 percent of all "non-C" business revenues. In addition, over 40 percent of all U.S. "non-C" retail and service businesses were owned by women and showed strong rates of growth since the prior five-year survey. Between 1987 and 1992: - The number of U.S. "non-C" businesses grew by 26 percent, while comparable women-owned businesses grew some 43 percent. - Growth rates for U.S. "non-C" construction and wholesale businesses were about one-fourth those of comparable women-owned businesses. - Total revenues for all U.S. "non-C" businesses grew by 67 percent, versus nearly twice that rate (131 percent) for women-owned businesses. The report provides information on the number of women-owned firms, receipts, number of paid employees, and annual payroll. These data are presented by geographic area (the nation, states, and selected metropolitan areas, counties, and cities), industry, size of firm, and legal form of organization with comparative 1992 data for all U.S. firms. The data in this report were collected as part of the 1992 Economic Census from a large sample of all non-farm businesses filing tax forms as sole proprietors, partnerships, or any type of corporations, and with receipts of $500 or more in 1992. Since this was a sample survey, the data are subject to sampling variability as well as reporting and coverage errors. All comparisons made using only 1992 data are statistically significant at the 90 percent confidence level. However, comparisons between 1987 and 1992 should be made with extreme caution because changes in tax laws cause inconsistencies between the data and changes in survey methods may contribute to differences. -X- Editor's Note: media representatives may obtain reproduced excerpts from the forthcoming women-owned businesses report from the Census Bureau's Public Information Office on 301-457-3030; fax: 301-457-3670; or e-mail: email@example.com. Other requests should go to the bureau's Minority- and Women-Owned Businesses Information Staff on 301-763-5726. A notice will be issued when printed copies of the report are available.