The Adobe Flash Player is required to view this multimedia interactive. Get it here.

Number of Ohio business startups declined over decade, study says

Frozen yogurt shop offers frenzy of flavors, toppings
5:58 p.m.
Is your “unlimited” data being throttled?
2:32 p.m.
Wright-Patterson relatively unscathed in Obama defense budget
4:55 p.m.
Dayton Mall shoe store moving
4:32 p.m.
Dayton Children's website ranks high in study
11:42 a.m.
> More headlines

Staff Report 10:29 AM Wednesday, March 10, 2010

CLEVELAND — The number of new business startups declined by almost 4,000 across Ohio in 2007 from a decade earlier, according to a new study by Cleveland State University’s Center for Economic Development.

Ohio had 18,500 business startups in 2007, down from 22,420 in 1997, the researchers found. New businesses employed nearly 52,000 people in 2007, down from more than 74,100 in 1997.

Entrepreneurial startups remain a significant source of new jobs, so state leaders should focus on policies that make it easier for entrepreneurs to start businesses, the researchers said in the study funded by the Kauffman Foundation.

More than 50 percent of the businesses started in Ohio between 1997 and 2003 still existed after five years regardless of the type of establishment, the study found.

Business survival rates, five years after startup, differed by sector. The health care and social services sector had the highest survival rate (70.6 percent), followed by manufacturing (60.3 percent) and wholesale trade (51 percent). The information sector had the lowest survival rate after five years (41.3 percent).

Survival rates for entrepreneurial startups was highest in the health care sector in the Dayton, Columbus, Cleveland, Toledo and Akron metropolitan areas, according to the study. The professional, scientific and technical services sector accounted for the largest share of entrepreneurial startups in the Dayton, Cincinnati, Cleveland and Akron metro areas.

Share this article