With inflation steadily ramping up its pressure on state residents, many citizens are now re-tightening their wallets once again in preparation for the uncertain future. According to the U.S. Bureau of Labor Statistics, From April 2020 to December 2021, Wisconsin saw an increase in new business formations of 24.3 percent. Our state also saw an explosion of entrepreneurs and business owners beginning new ventures in 2021, there have been more than 136,778 new applications since 2020, signaling the largest surge of entrepreneurship in at least 15 years. The U.S. Census Bureau recently released its report on new business formations for the month of May 2022. A total of 420,586 new startup businesses were reported across the nation for the month, with 68,701 of those applications being filed in our corner of the Midwest. Additional state data has not yet been released.
Wisconsin is home to 406,766 small businesses, with 1.2 million small business employees, representing half of Wisconsin workers. 99.6 percent of Wisconsin businesses are defined as small businesses with fewer than 500 employees. According to the Bureau of Labor Market Information and Strategic Initiatives, over the past two years, Wisconsin has ranked 21st in small business revenue growth.
Gov. Tony Evers is establishing Wisconsin as the small business powerhouse of the Midwest, and it is due to his commitment to small businesses that the state ranks first in the country in aid allocated to businesses and second in the country for aid directed to economic development. Wisconsin has also achieved the lowest unemployment rate in state history and has a labor force participation rate that is four points higher than the national average. “We’re continuing to build a strong and resilient economy that works for everyone, and that means encouraging business development in communities that have been hit hard by the pandemic and often face barriers to getting the tools and resources they need to be successful,” said Gov. Evers. “By supporting local businesses and entrepreneurs, these grant programs will ensure job growth, stronger communities, and a brighter, more equitable future for Wisconsin.”