Businesses owned and operated by women are a rapidly growing part of the U.S. economy. Over the last 20 years, the number of businesses that are owned (at least 51 percent) by a female partner has shot up by 114 percent. By comparison, overall business growth hovers around 44 percent. These women-owned businesses have created 9 million jobs and generated an estimated $1.7 trillion in revenue over that same timeframe.
With that in mind, MaxFilings set out to determine which states have been the best for women-owned businesses. This isn't necessarily an easy thing to quantify. While it's true that the raw volume of women-owned businesses is usually more a reflection of a state's population size, there are other important factors—like tax structure to the business lending environment—that affect all businesses equally, regardless of their ownership.
There are two rankings, though, that can give us a good sense of how female entrepreneurs are faring. The first is the percentage of women-owned businesses on a per-capita basis. The other is how fast these businesses are growing.
So without further ado, here are the 10 best and worst states based on the metrics of per-capita female business ownership and growth rate of women-owned businesses. At the end is a chart showing all 50 states (plus the District of Columbia) and how they rank in both categories.
|District of Columbia||42.7%|
The growth rate rank is calculated by averaging each state’s percentage of revenue and employment growth of women-owned businesses.
|STATE||PER CAPITA RANKING||GROWTH RATE RANKING||COMBINED RANKING|
|District of Columbia||1||41||16|
MaxFilings assumes no responsibility for inaccuracies or for changes in such information that may occur after publication.
MaxFilings assists female entrepreneurs in all 50 states and the District of Columbia with incorporating and satisfying the requirements for their state. Our online incorporation system is secure and user-friendly, and provides upfront pricing for your state and corporate structure. You can begin forming your corporation and come back later to finish.
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