According to the ninth annual State of Women-Owned Business Report, Maryland ranked 20th in the growth of women-owned firms since 2014. The state saw a 10% increase in that time.
The report showed exceptional growth for minority women.
Minority women are starting firms at a pace more than double that of woman business owners overall, and nearly five times the pace of all company owners.
That’s one of the findings of a report on women-owned businesses released Monday by American Express.
The report found that the number of companies owned by women of color grew nearly 43% from 2014 to this year. The number of new businesses owned by women in general grew by 21.3%, while companies overall grew 9%.
Minority women own half of all women-owned businesses, AmEx found. Their annual growth rate between 2014 and 2019 was nearly double that of women-owned businesses overall — 7.4% compared to 3.9%.
AmEx put its report together after analyzing government data including Census Bureau statistics on business ownership. It also analyzed national and local economic data to reach its conclusions.
Maryland was 14th in growth of jobs created with a 6.6% increase and 13th in growth of firm revenues with a 12% increase.
Baltimore ranked 32nd in growth of women-owned firms among the top 50 U.S. metropolitan areas with an 11.9% increase in the past five years. It was 21st in growth of jobs created with a 9.1% increase and 24th in growth of firm revenues with a 16.3% increase.
The growth rate for women-owned businesses overall is even more dramatic when looked at from a 1972 vantage point. That year, 4.6% of companies were owned by women. In 2019, women owned 42% of companies, or nearly 13 million businesses.
Employment at all companies owned by women overall rose 8% from 2014 to 2019, compared to 1.8% at all businesses. Their revenue growth rate was virtually the same as all companies, 21% versus 20%. However, revenue grew at a faster rate at companies owned by minority women: Their revenue rose at a 6.7% annual rate versus 3.8%.
Half the women-owned businesses were concentrated in three industries, AmEx found. The number of service providers like hair and nail salons and pet care businesses owned by women rose by nearly 30% between 2014 and 2019. Companies that provide services like home health care and child care increased by 14%. And woman-owned companies that offer professional, scientific or technical services, such as lawyers, bookkeepers, public relations firms and consultants also grew by 14%.
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