advertisement

Study finds small businesses create the most jobs

Thursday, November 22, 2012 | 5:23 p.m. CST; updated 6:11 p.m. CST, Thursday, November 22, 2012

HELENA-WEST HELENA, Ark. — A study conducted for the Delta Regional Authority says small businesses created more than 90 percent of the new jobs in the area over the past 20 years, but that manufacturing losses occurred at a steep rate.

The study, conducted by the executive director of the Douglas C. Greene Center for Innovation & Entrepreneurship at Southeast Missouri State University, found that locally based small businesses created more than 58,000 new jobs since 1992, while non-resident and non-commercial businesses eliminated nearly 368,000.

"Small businesses and entrepreneurs are the past, present and future of the Delta economy," Chris Massingill, the federal co-chairman of the Delta Regional Authority, said in a statement.

Manufacturers lost 223,000 jobs over the past two decades, about 67.3 percent of the jobs in the sector. The administrative, support and waste management sector was up 61.3 percent and arts, entertainment and recreation were up 40.1 percent.

The report was released as part of National Entrepreneurship Month, according to the DRA.

James Stapleton, the executive director of the Greene Center, said small businesses created 91 percent of the net new jobs in the Delta region. The report also found that while some jobs continue to be created, the number of jobs today is still behind the number in 2001, as startup companies are creating fewer jobs, the number of closings has increased and the number of business expansions has declined.

"To be competitive and sustain economic growth in the new economy, we must invest in the creation of local systems that develop and support local innovators and entrepreneurs, to build more competitive, job-creating businesses," Stapleton said in a statement.

Stapleton used "snapshots" from Delta businesses from January 1992 to January 2010 to make his assessment.

The Delta Regional Authority targets job economic development in the lower Mississippi River valley, including portions of Alabama, Arkansas, Illinois, Kentucky, Louisiana, Mississippi, Missouri and Tennessee.


Like what you see here? Become a member.


Show Me the Errors (What's this?)

Report corrections or additions here. Leave comments below here.

You must be logged in to participate in the Show Me the Errors contest.


Comments

Leave a comment

Speak up and join the conversation! Make sure to follow the guidelines outlined below and register with our site. You must be logged in to comment. (Our full comment policy is here.)

  • Don't use obscene, profane or vulgar language.
  • Don't use language that makes personal attacks on fellow commenters or discriminates based on race, religion, gender or ethnicity.
  • Use your real first and last name when registering on the website. It will be published with every comment. (Read why we ask for that here.)
  • Don’t solicit or promote businesses.

We are not able to monitor every comment that comes through. If you see something objectionable, please click the "Report comment" link.

You must be logged in to comment.

Forget your password?

Don't have an account? Register here.

advertisements