MAY 11, 2023 – Women owned 41.1% of the nation’s businesses without paid employees and had $313.6 billion in receipts in 2019, according to the latest Nonemployer Statistics by Demographics (NES-D) released today from the U.S. Census Bureau. Minorities, those classified as any race and ethnic combination other than non-Hispanic and White, owned 35.3% of businesses without paid employees and had $342.9 billion in receipts in 2019. This release also includes demographic data by urban and rural classification, receipt size of firm, and legal form of organization plus characteristics of nonemployer business owners.
The NES-D is an annual statistical series that uses existing administrative records and census data to link demographic characteristics to the universe of nonemployer businesses. Nonemployer businesses are those that have no paid employees or payroll, are subject to federal income tax, and have receipts of $1,000 or more. The NES-D statistics are the accompanying dataset to the Annual Business Survey (ABS) data on employer businesses and when combined with the ABS, provide a complete picture of business owner demographics such as sex, race, ethnicity and veteran status.
Highlights for nonemployer businesses:
This release also includes demographic statistics of all businesses, those with and without employees, combining results from the previously released ABS (data year 2019) and the 2019 NES-D.
Highlights from these combined statistics (total employer and nonemployer businesses):
The 2019 NES-D reported increases in business ownership by race for each of the minority race groups from 2018. These changes are due to the combination of enhanced methods used during processing, timing of administrative data, and population changes reported in the administrative data. The culmination of these changes could have affected some race groups more than others. For more information on the changes in data by race, refer to the NES-D methodology. The Census Bureau has reviewed this data product to ensure appropriate access, use and disclosure avoidance protection of the confidential source data (Project No. 7504866, Disclosure Review Board (DRB) approval number: CBDRB-FY23-0262).
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