Last updated October 20, 2026
From October 2025 to September 2026, our research team analyzed the latest government data from the Census Bureau and the Bureau of Labor Statistics to compile these small business statistics by state. Every figure covers 2025 or 2026, so you’re seeing how small business activity looks in each state right now.
Key Takeaways
- The U.S. had 12,075,890 private business establishments in the first quarter of 2026, up 3.6% from a year earlier; 42 of 51 jurisdictions grew, led by Colorado (+9.6%).
- Roofing contractors grew fastest of the 12 common small business industries we tracked, up 4.2% to 33,653 locations; beauty salons grew slowest, up 0.6%.
- California has the most locations in 8 of the 12 industries, while Florida leads in landscaping, roofing, cleaning and pest control.
- Americans filed 4,927,840 new business applications from January to September 2026, up 15.3%; Alaska grew fastest (+48.1%).
- Five-year survival of new businesses (measured through March 2025) ranged from 57.1% in Pennsylvania to 42.2% in Washington.
What This Report Covers
This report breaks down small business statistics by state so you can see how your state compares. Here’s what you’ll find:
- A 50-state and DC table with each state’s number of business locations, one-year growth, 2026 new business applications and five-year survival rate.
- Small business industries by state, showing how 12 common small business industries, from landscaping and HVAC to restaurants and salons, are growing nationally and how many locations each state has.
- Answers to common questions about small businesses in each state.
Small Business Statistics for All 50 States and DC
In the table below, we show how many private business locations (establishments) each state had in early 2026, how that changed in a year, how many new business applications were filed in 2026 and how many new businesses last five years.
Small Business Statistics by State, 2026
| State | Private business establishments, Q1 2026 | Change vs. Q1 2025 | New business applications, Jan to Sep 2026 | 5-year survival rate (through March 2025) |
|---|---|---|---|---|
| Alabama | 162,191 | +3.9% | 60,621 | 51.4% |
| Alaska | 23,588 | +2.4% | 11,351 | 50.8% |
| Arizona | 225,011 | +1.8% | 123,141 | 52.1% |
| Arkansas | 105,070 | +2.4% | 37,035 | 48.0% |
| California | 1,953,774 | +9.3% | 497,172 | 53.7% |
| Colorado | 261,077 | +9.6% | 136,993 | 48.5% |
| Connecticut | 146,577 | +1.1% | 44,391 | 51.1% |
| Delaware | 46,462 | -0.6% | 47,277 | 48.1% |
| District of Columbia | 50,989 | +0.2% | 12,387 | 42.4% |
| Florida | 888,276 | +3.5% | 577,694 | 49.5% |
| Georgia | 389,001 | +1.6% | 224,142 | 49.9% |
| Hawaii | 62,593 | +7.1% | 14,053 | 51.0% |
| Idaho | 97,975 | -4.3% | 30,567 | 45.6% |
| Illinois | 380,873 | +4.6% | 150,514 | 55.6% |
| Indiana | 192,583 | +0.5% | 80,688 | 54.3% |
| Iowa | 104,943 | -0.4% | 30,457 | 53.7% |
| Kansas | 97,126 | +5.7% | 33,984 | 47.4% |
| Kentucky | 156,726 | +1.4% | 61,730 | 54.1% |
| Louisiana | 153,776 | +2.4% | 63,227 | 52.9% |
| Maine | 64,403 | +2.7% | 12,796 | 54.9% |
| Maryland | 197,316 | +1.6% | 87,179 | 50.1% |
| Massachusetts | 288,893 | +2.5% | 68,670 | 52.7% |
| Michigan | 304,913 | +0.7% | 131,698 | 55.0% |
| Minnesota | 207,043 | +1.6% | 63,322 | 54.9% |
| Mississippi | 89,287 | +4.2% | 50,522 | 53.5% |
| Missouri | 253,155 | +5.8% | 96,509 | 42.9% |
| Montana | 60,991 | +4.7% | 25,904 | 53.0% |
| Nebraska | 75,506 | +2.3% | 18,643 | 50.9% |
| Nevada | 111,332 | +7.0% | 54,415 | 47.6% |
| New Hampshire | 63,466 | +0.9% | 16,348 | 47.7% |
| New Jersey | 338,001 | +6.5% | 141,921 | 50.5% |
| New Mexico | 63,100 | -0.6% | 35,083 | 46.3% |
| New York | 695,065 | +0.6% | 255,797 | 51.9% |
| North Carolina | 366,830 | +7.6% | 156,790 | 54.2% |
| North Dakota | 34,653 | +2.7% | 8,012 | 54.4% |
| Ohio | 330,257 | -0.3% | 142,973 | 54.4% |
| Oklahoma | 124,185 | +1.0% | 58,049 | 50.2% |
| Oregon | 167,628 | -2.2% | 52,044 | 45.8% |
| Pennsylvania | 380,934 | +1.5% | 131,016 | 57.1% |
| Rhode Island | 48,301 | -0.5% | 10,347 | 48.1% |
| South Carolina | 188,795 | -3.1% | 81,831 | 55.9% |
| South Dakota | 38,795 | +1.7% | 10,965 | 52.7% |
| Tennessee | 223,601 | +9.4% | 90,299 | 46.4% |
| Texas | 851,477 | +2.2% | 457,383 | 52.5% |
| Utah | 136,641 | +1.7% | 69,052 | 49.7% |
| Vermont | 31,912 | +3.9% | 6,992 | 46.6% |
| Virginia | 315,573 | +2.2% | 118,488 | 48.8% |
| Washington | 235,371 | -0.5% | 93,320 | 42.2% |
| West Virginia | 59,128 | +1.6% | 15,618 | 53.6% |
| Wisconsin | 200,440 | +3.4% | 60,944 | 52.4% |
| Wyoming | 30,287 | +6.1% | 67,486 | 47.5% |
| United States | 12,075,890 | +3.6% | 4,927,840 | 51.4% |
Top 10 States by Growth in Business Locations, Q1 2025 to Q1 2026
Sources: BLS Quarterly Census of Employment and Wages (released August 28, 2026; Q1 2026 data are preliminary); Census Bureau Business Formation Statistics (released October 2026); BLS Business Employment Dynamics, Table 7 (2026 release; businesses opened in the year ended March 2020, measured through March 2025). Establishment counts include businesses of every size.
What the Numbers Show
- California has the most business locations at 1,953,774, followed by Florida (888,276) and Texas (851,477).
- Colorado (+9.6%), Tennessee (+9.4%) and California (+9.3%) grew fastest. Idaho (-4.3%), South Carolina (-3.1%) and Oregon (-2.2%) shrank the most. Large one-year jumps can partly reflect how employers register unemployment insurance accounts.
- Florida led 2026 new business applications with 577,694, and Pennsylvania had the best five-year survival rate at 57.1%.
Small Business Industries by State
In the table below, we compare 12 industries made up mostly of small, local businesses, ranked by how fast their number of locations grew nationally from the first quarter of 2025 to the first quarter of 2026.
Common Small Business Industries in the U.S., Q1 2025 to Q1 2026
| Industry (NAICS code) | U.S. establishments, Q1 2025 | U.S. establishments, Q1 2026 | Change | State with the most (Q1 2026) |
|---|---|---|---|---|
| Roofing contractors (23816) | 32,299 | 33,653 | +4.2% | Florida (5,148) |
| Plumbing, heating and air-conditioning (HVAC) contractors (23822) | 122,581 | 125,652 | +2.5% | California (13,443) |
| Pest control services (561710) | 17,515 | 17,933 | +2.4% | Florida (2,500) |
| Electrical contractors (23821) | 99,337 | 101,565 | +2.2% | California (11,540) |
| Accounting, tax and bookkeeping services (5412) | 186,293 | 189,872 | +1.9% | California (20,953) |
| Landscaping services (561730) | 121,751 | 124,018 | +1.9% | Florida (11,734) |
| Restaurants and other eating places (7225) | 620,865 | 632,336 | +1.8% | California (81,044) |
| Dentist offices (6212) | 136,701 | 138,982 | +1.7% | California (23,486) |
| Real estate agent and broker offices (531210) | 157,518 | 159,989 | +1.6% | California (23,826) |
| Auto repair and maintenance (8111) | 173,572 | 176,086 | +1.4% | California (20,911) |
| Janitorial and cleaning services (561720) | 82,416 | 83,480 | +1.3% | Florida (8,766) |
| Beauty salons (812112) | 77,129 | 77,594 | +0.6% | California (8,648) |
U.S. Growth in Business Locations by Industry, Q1 2025 to Q1 2026
HVAC = plumbing, heating and air-conditioning contractors; Acctg = accounting, tax and bookkeeping; Realty = real estate agents and brokers.
Source: BLS Quarterly Census of Employment and Wages, private establishments (released August 28, 2026; Q1 2026 data are preliminary).
What the Numbers Show
- Every one of the 12 industries added locations. Roofing (+4.2%), HVAC and plumbing (+2.5%) and pest control (+2.4%) grew fastest. All three are home-service trades, while beauty salons barely grew (+0.6%).
- Restaurants are by far the largest group with 632,336 locations, five times as many as landscaping (124,018).
- Tennessee posted the fastest growth among states with at least 500 locations in 7 of the 12 industries, including roofing (+13.9%) and electrical contractors (+10.3%), in line with its 9.4% overall jump.
In the table below, we show how many locations six of the most common small business industries had in each state in the first quarter of 2026.
Small Business Locations by State and Industry, Q1 2026
| State | Landscaping | Plumbing and HVAC | Roofing | Restaurants | Auto repair | Beauty salons |
|---|---|---|---|---|---|---|
| Alabama | 1,699 | 2,168 | 470 | 9,618 | 2,585 | 814 |
| Alaska | 206 | 273 | 81 | 1,252 | 373 | 100 |
| Arizona | 1,665 | 2,993 | 637 | 10,790 | 3,310 | 1,411 |
| Arkansas | 931 | 1,436 | 339 | 5,542 | 1,654 | 433 |
| California | 10,297 | 13,443 | 3,822 | 81,044 | 20,911 | 8,648 |
| Colorado | 2,331 | 2,852 | 1,006 | 11,396 | 3,500 | 1,866 |
| Connecticut | 2,287 | 1,471 | 249 | 8,004 | 1,815 | 1,009 |
| Delaware | 526 | 472 | 83 | 2,115 | 503 | 276 |
| District of Columbia | 41 | 84 | 18 | 2,261 | 81 | 164 |
| Florida | 11,734 | 11,174 | 5,148 | 43,592 | 12,157 | 7,038 |
| Georgia | 3,605 | 3,786 | 1,164 | 21,987 | 5,529 | 2,661 |
| Hawaii | 606 | 547 | 138 | 4,050 | 615 | 345 |
| Idaho | 1,355 | 1,161 | 388 | 3,652 | 1,409 | 430 |
| Illinois | 5,277 | 4,205 | 1,157 | 22,190 | 7,051 | 3,076 |
| Indiana | 2,661 | 2,284 | 672 | 11,854 | 3,760 | 1,373 |
| Iowa | 1,225 | 1,145 | 292 | 5,325 | 2,033 | 666 |
| Kansas | 973 | 1,084 | 291 | 4,964 | 1,618 | 482 |
| Kentucky | 1,431 | 1,786 | 407 | 8,122 | 2,263 | 718 |
| Louisiana | 1,185 | 1,992 | 409 | 10,039 | 2,436 | 746 |
| Maine | 1,037 | 865 | 116 | 3,050 | 983 | 275 |
| Maryland | 1,952 | 1,912 | 338 | 10,388 | 2,857 | 1,305 |
| Massachusetts | 4,232 | 3,155 | 425 | 13,871 | 3,695 | 2,369 |
| Michigan | 3,938 | 2,865 | 571 | 16,161 | 5,665 | 1,705 |
| Minnesota | 2,314 | 1,850 | 465 | 9,215 | 3,217 | 1,183 |
| Mississippi | 795 | 1,089 | 208 | 5,690 | 1,560 | 333 |
| Missouri | 2,279 | 2,250 | 724 | 11,098 | 3,763 | 1,167 |
| Montana | 790 | 822 | 177 | 2,212 | 945 | 224 |
| Nebraska | 926 | 934 | 364 | 3,567 | 1,436 | 607 |
| Nevada | 838 | 1,093 | 170 | 6,418 | 1,503 | 586 |
| New Hampshire | 1,115 | 851 | 108 | 3,038 | 1,104 | 407 |
| New Jersey | 4,583 | 3,483 | 455 | 18,283 | 4,444 | 3,374 |
| New Mexico | 399 | 726 | 203 | 3,240 | 968 | 273 |
| New York | 7,561 | 6,802 | 765 | 42,343 | 8,653 | 6,094 |
| North Carolina | 4,824 | 4,798 | 1,066 | 20,893 | 5,949 | 2,332 |
| North Dakota | 322 | 412 | 107 | 1,356 | 620 | 230 |
| Ohio | 4,426 | 3,494 | 1,134 | 21,146 | 5,845 | 2,513 |
| Oklahoma | 1,108 | 1,899 | 597 | 6,909 | 2,027 | 546 |
| Oregon | 2,008 | 1,570 | 637 | 9,376 | 2,266 | 658 |
| Pennsylvania | 5,273 | 4,370 | 984 | 22,482 | 7,624 | 4,512 |
| Rhode Island | 847 | 553 | 91 | 2,596 | 671 | 365 |
| South Carolina | 1,852 | 1,841 | 397 | 10,275 | 2,556 | 896 |
| South Dakota | 378 | 465 | 125 | 1,568 | 778 | 135 |
| Tennessee | 2,246 | 2,492 | 641 | 13,521 | 3,410 | 1,033 |
| Texas | 5,892 | 10,270 | 2,975 | 53,362 | 14,779 | 5,294 |
| Utah | 1,673 | 1,786 | 486 | 5,868 | 2,081 | 994 |
| Vermont | 570 | 330 | 90 | 1,148 | 477 | 124 |
| Virginia | 2,980 | 2,877 | 587 | 16,461 | 4,420 | 2,525 |
| Washington | 3,299 | 2,346 | 1,092 | 14,877 | 3,410 | 1,504 |
| West Virginia | 528 | 555 | 120 | 3,037 | 916 | 231 |
| Wisconsin | 2,664 | 2,151 | 584 | 9,973 | 3,366 | 1,475 |
| Wyoming | 334 | 390 | 80 | 1,117 | 495 | 69 |
| United States | 124,018 | 125,652 | 33,653 | 632,336 | 176,086 | 77,594 |
Source: BLS Quarterly Census of Employment and Wages, private establishments, first quarter 2026 (released August 28, 2026; preliminary). Plumbing and HVAC is NAICS 23822; beauty salons is NAICS 812112.
Frequently Asked Questions
Which state has the most small businesses?
California has the most private business locations, with 1,953,774 in the first quarter of 2026, followed by Florida (888,276) and Texas (851,477). Establishment counts include businesses of every size.
Which states are growing fastest?
Colorado’s number of business locations grew 9.6% from the first quarter of 2025 to the first quarter of 2026, followed by Tennessee (9.4%) and California (9.3%). For new business applications, Alaska leads 2026 with a 48.1% increase from January to September.
Which state has the most landscaping, HVAC and roofing businesses?
Florida has the most landscaping (11,734) and roofing (5,148) locations, while California has the most plumbing and HVAC contractors (13,443), as of the first quarter of 2026.
What percentage of new businesses survive five years, by state?
Nationally, 51.4% of private-sector establishments that opened in the year ended March 2020 were still operating in March 2025. State rates range from 57.1% in Pennsylvania to 42.2% in Washington.
Local owners can earn recognition through our small business awards. For national trends, see our Small Business Growth Statistics: 2026 Report.
Sources
- Quarterly Census of Employment and Wages: Open Data Access. U.S. Bureau of Labor Statistics. August 2026. Washington, DC.
- County Employment and Wages, First Quarter 2026. U.S. Bureau of Labor Statistics. August 28, 2026. Washington, DC.
- Business Formation Statistics. U.S. Census Bureau. October 2026. Washington, DC.
- Business Employment Dynamics, Table 7: Survival of Private Sector Establishments by Opening Year. U.S. Bureau of Labor Statistics. 2026. Washington, DC.
Written by Savannah Davis, Voted Number One team. Savannah works with the local business owners who take part in the Voted Number One community awards.
