Why Some Workers are Giving Their Boss the Finger
New Business Formations are Through the Roof!
It’s no mystery why many workers are quitting their jobs at an alarming rate. Several reasons factor into this decision: a less than the desired working environment, compensation (or lack thereof), COVID protocols, or they’re just plain fed up feeling stuck in a job that doesn’t provide fulfillment or spark their creativity.
After the Census Bureau released some of its latest figures, it’s not surprising that many workers who have recently left their jobs have decided to launch their businesses. Their data shows over 5 million new business formations were registered just in 2021 alone. Moreover, unique business formations have been trending upward since the pandemic began in March 2020.
Fantastic growth in business start-ups
Small business startups continue to surge past pre-pandemic levels:
• 3 million in 2016
• 3.2 million in 2017
• 3.5 million in 2018 and 2019
• 4.4 million in 2020
• 5+ million in 2021
According to metadata analysis by SCORE, mentors to America’s small businesses and a resource partner of the U.S. Small Business Administration, new business formations have skyrocketed in the past two years. This trend is expected to continue in 2022 as many Americans pursue their dream of owning their own business.
Many small business retailers have gone digital, with 88% of entrepreneurs stating online sales are an essential source of revenue and 97% indicating digital tech is crucial to their business. In addition to Retail, new business applications were up 55% in the Accommodation and Food Service sectors, while Health and Social Assistance applications rose 23%. According to the data, those industries highly affected by the pandemic showed the most significant gains in new business applications.
Former teacher Danielle Neal of Baltimore, MD, turned her part-time job helping small business owners with marketing and social media into a full-time business. “As the pandemic continued, I wanted to take my livelihood into my own hands,” said Neal, who launched Digital with Danielle in May 2021.
In April of 2021, Patricia Wynn of Hillsborough, NC, started her own lifestyle assistance company, Patricia Services LLC. Says Wynn, “Being a small business owner has taught me to strive for much more than I could have ever imagined for myself.”
Many American workers are now seizing the exciting opportunity to chart their destiny by becoming their boss.