Local Attorney, Shelburne Ferguson, writes an intriguing weekly article series in the Kingsport Times News, centered around business and entrepreneurship.
Recently, he wrote an article titled “How City Should View Economic Development,” in response to the Q&A series the Times News facilitated during the election for Board of Mayor and Alderman seats.
Mr. Ferguson cited some interesting points from a study by The Kauffman Foundation, an organization whose work is focused around education and entrepreneurship.
- New businesses account for nearly all net new job creation and almost 20 percent of gross job creation, whereas small businesses do not have a significant impact on job growth when age is accounted for.
- Companies less than one year old have created an average of 1.5 million jobs per year over the past three decades.
- Many young firms exhibit an “up or out” dynamic, in which innovative and successful firms grow rapidly and become a wellspring of job and economic growth, or quickly fail and exit the market, allowing capital to be put to more productive uses.
- Young firms were hit hard during the Great Recession. Even still, from 2006 to 2009, young and small firms (fewer than five years old and 20 employees) remained a positive source of net employment growth (8.6 percent), whereas older and larger firms shed more jobs than they created.
As you can see, small businesses, entrepreneurs, and start-ups are important to job creation and to development and growth of the economy.
At AccelNow, our goal is to support entrepreneurs in Northeast Tennessee, so they have a greater chance of creating sustainable businesses that thrive. Providing them with the opportunity to add value to the economy through long-term job creation.
Do you have an idea for a new business, but aren’t sure where to start? Are you interested in creating a viable, sustainable, and thriving business?
Contact AccelNow today to schedule your free consultation and take one step closer to reaching your dreams and creating sustainable growth in Northeast Tennessee.
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