Sutland, Mohd. , The US Census Bureau announced that it will officially hold the record on the number of business startups after the record number of business startups during the COVID-19 pandemic.
Business Formation Statistics, or BFS, Will be launched on 8th DecemberAccording to the Bureau. The monthly data will focus on new business applications and business structures to help authorities monitor economic activity across the country. The numbers will include seasonally and non-seasonally adjusted data.
Bureau officials said they experimented with record keeping as early as February 2018.
According to the Small Business Committee, Americans filed paperwork to start 4.3 million new businesses in 2020—a 24% increase from 2019 and the highest number in the past 15 years.
“Many of these businesses did not look like traditional small firms,” the committee said. a news release, “As the pandemic turned commerce online, these new ventures were primarily focused in non-store, online retail.”
“Black and Hispanic communities lead the way in launching new companies,” the statement continued. “Young entrepreneurs face a difficult job market by turning the focus toward entrepreneurship to develop businesses and products to serve their communities.”
The committee believed that there were a number of factors that led to a boom in entrepreneurship, including layoffs, favorable credit markets, and federal stimulus efforts.
Major corporations are paying attention to the benefits of small businesses.
In June, Neiman Marcus announced it was investing $500 million in refresh stores over the next three years, accelerating deliveries and acquiring new technology. In this plan Stylyze Inc. Including an agreement to buy Co., a tech startup that recommends organizations to customers based on past purchases and browsing history.
But the COVID-19 pandemic has been a roller coaster for many small businesses.
For a brief moment this summer, it looked like small businesses might be taking a break from the relentless onslaught of the pandemic. More Americans, many of them vaccinated, walked into restaurants and stores without the need for masks or social distancing.
But then cases surged due to a reluctant return to the delta variant, a push for a vaccine mandate, and more COVID-19 precautions. Now, small business owners are trying to strike a balance between staying safe and being completely open.
Navigating the ever-changing coronavirus reality comes with many risks, ranging from financial hardship to workers harassing customers. Those challenges can intensify as winter approaches and outdoor options are limited. Still, small business owners say the whiplash is worth it to keep customers and employees as safe as possible.
Jessica Johnson-Cope, chair of the Johnson Security Bureau, chair of the Goldman Sachs 10,000 Small Business Voices National Leadership Council and a small business owner herself, said, “Just a few weeks ago, small business owners expected our return to normalcy. Will help start the recovery.” in New York.
This story was reported from Los Angeles.