Kauffman Foundation data show that young companies (those less than five years old) accounted for nearly all net job growth in the U.S., creating three million new jobs annually.
By Angie Chang (Co-Founder & Editor-in-Chief, Women 2.0)
The Startup America Partnership recently released the results of an optimism survey gauging startups’ confidence about their businesses and the overall U.S. economy, with its 8.1% unemployment rate. An encouraging finding is that 85% of survey participants plan on hiring in the next year. 11% of those reported planning on hiring over 10 employees, and 42% reported planning on adding 3-10 employees. Similarly, Kauffman Foundation data show that young companies (those less than five years old) accounted for nearly all net job growth in the U.S., creating three million new jobs annually.
“As young companies grow and generate revenue they hire more employees, creating more job opportunities,” said Scott Case, CEO of the Startup America Partnership. “We encourage everyone to connect with startups in their local community in order to meet the real heroes of the economy.”
84% surveyed were optimistic about business prospects in the next year, while 40% surveyed were “strongly optimistic” about the future. When asked about the overall economy, 50% said they were growing more confident in the US economy, while 20% are growing less confident.
Startup America plans on releasing the Optimism Survey on a quarterly basis to gauge the economic perceptions of startups.
Angie Chang is Editor-in-Chief and Co-Founder of Women 2.0, a media company offering content, community and conferences for aspiring and current women innovators in technology. Our mission is to increase the number of female founders of technology startups with inspiration, information and education through our platform. Previously, Angie held roles in product management and web UI design. Angie holds a B.A. in English and Social Welfare from UC Berkeley. Follow her on Twitter at @thisgirlangie.