New business application data show US entrepreneurship has leveled off

Business applications in retail trade remain higher than any other US industry.
Business applications in retail trade remain higher than any other US industry.
Image: REUTERS/Shannon Stapleton
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Business applications in the US surged during the pandemic. But while numbers remain higher than years before, entrepreneurship appears to be leveling off, data from the US Census Bureau released yesterday show. Overall the report shows applications for tax identification numbers increased 4.1% from December to January.

There were 430,411 applications of which 12% were from corporations.

More businesses for retail

Retail trade continued to have the most business applications and the largest growth. Applications grew 21.6% month-to-month for goods sellers. The top industries for new businesses included professional services, construction, and transportation and warehousing though they all saw drops from December.