Colorado 2020 Snapshot | Early-Stage Entrepreneurship

2020_KESE_Snapshot_CO

Entrepreneurship is important for job creation, innovation, and the economy. This brief provides a snapshot of various indicators related to early-stage entrepreneurial activity in Colorado.


RATE OF NEW ENTREPRENEURS

How many people are becoming entrepreneurs?

Since 1998, the rate of new entrepreneurs in Colorado has been above the national rate, with the exception of 2019 when it was lower.

In Colorado, the rate of new entrepreneurs in 2020 was 0.35%, meaning that 3.5 out of every 1,000 adults became new entrepreneurs, on average, in a given month. This compares to 0.34% nationally.

OPPORTUNITY SHARE OF NEW ENTREPRENEURS

How many new entrepreneurs created their business out of opportunity?

In recent years, the opportunity share of new entrepreneurs has been lower in Colorado compared to the rest of the nation.

The opportunity share of new entrepreneurs was 77.0% in Colorado in 2020, compared to 80.9% nationally.

STARTUP EARLY JOB CREATION

How many jobs are created by new businesses?

Since 2000, the number of jobs created by startups in Colorado has been above the national level.

There were 6.5 jobs created by startups per 1,000 people in Colorado in 2020, compared to 5.0 jobs created by startups at the national level.

STARTUP EARLY SURVIVAL RATE

How many businesses survive their first year?

In recent years, the share of startups that survive at least one year in Colorado has been similar to the national level.

In 2020, 76.9% of startups in Colorado survived at least one year, compared to 78.1% of startups at the national level.