2023 U.S. Business Openings Tracking To Beat Previous High

Yelp released data Tuesday that suggests “strong national growth” across all business categories and for the first time every U.S. state -- including the District of Columbia  -- surpassed new business openings compared with pre-pandemic levels in 2019.

The data shows a wave of new minority-owned businesses, as entrepreneurs from underrepresented communities opened more businesses this year than 2022.

“Entrepreneurs from underrepresented communities outperform an already strong national average,” said Samantha Auerbach, data science manager at Yelp. “This summer has created opportunity for business openings, with restaurants, food, nightlife, arts and entertainment, and auto businesses seeing their best month this July.”

2023 business openings on Yelp are on track to beat last year’s all-time high.



Each month in 2023 has seen growth of at least 15% in new businesses compared with its respective month during the past four years, with every month setting a new all-time high since 2019.

The first seven months of 2023 saw a 25% increase in new businesses compared to the same period in 2022, and a 46% increase compared to the same period in 2019.

States on the East Coast saw the most significant percentage growth in new businesses compared with the same time period last year. Topping the list, Rhode Island was up 46%, followed by West Virginia, up 46%; Delaware, up 45%; and Vermont, up 38%.

When ranking all states by total number of new business openings, California, Florida, Texas, New York, and Georgia saw the largest number of new businesses.

Women-owned businesses rose 19%, while Asian-owned businesses rose 13%. LGBTQ-owned businesses rose 33, followed by Black-owned businesses at 28% and Latinx-owned businesses at 28%, compared with the prior year.

Driving business opening growth nationally are hotels and travel, which rose 39%, followed by home services at 37%; auto, up 27%; event services, up 27; and local services businesses rising 23%.

In July 2023, restaurants, food, nightlife, arts and entertainment, and automotive service businesses had their best month for new business openings this year.

Next story loading loading..