Business Applications and Annual Percent Change

What is it and why does it matter?

This measure from the Census Bureau estimates the annual number of applications for an Employer Identification Number (EIN). It is important to note that actual business formation, as well as longevity, are not tracked. The number and rate of new business applications is one way to measure a region's entrepreneurialism.

Latest Southeast Michigan trend:

Business applications fell by more than 12% in 2022 after surging by almost 48% in 2020, followed by another 11% in 2021. However, the number of business applications in 2022 exceeds its 2019 level by 26,000, suggesting there is still an appetite for entrepreneurship in our region. There were 85,000 business applications in 2022 compared to 59,000 in 2019.