Tuesday, March 8, 2011

LA Leads In Entrepreneurs, Says Report

A new study released by the Kauffman Foundation this week shows that the Los Angeles-Long Beach-Santa Ana Metropolitan Statistical Area (MSA) has the highest number of entrepreneurs per 100,000 people, of the top fifteen largest MSAs. According to the study of entrepreneurial activity in the United States, LA-Long Beach-Santa Ana had 620 entrepreneurs for every 100,000 people, beating out such areas as New York-Northern New Jersey-Long Island (360 per 100,000), San Francisco-Oakland-Fremont (550 per 100,000), and Boston-Cambridge-Quincy (330 per 100,000). The information came out in the annual index, which showed that while 2010 had a very high startup rate--the highest in 15 years--those new businesses are not generating jobs. The Kauffman Foundation speculated that the economy and high unemployment has pushed individuals into starting up sole proprietorships, while avoiding hiring employees. The report covers all business entrepreneurs, not just those in the high tech industry.