Home Business Statistics

Home Based Business Statistics:

• Home-based business is a $427 Billion a year industry.
  
  
• According to a recent report, over 70 percent of Americans would prefer to be self-employed.
  --Branchflower, 2004
  
  
• "Many entrepreneurs start firms from their homes - and stay there," states a November 2000 report from the SBA's Office of Advocacy. "This year, nearly 20,000 entrepreneurs grossed more than $1 million operating from a home-based environment."
  --Small Business Association
  
  
• Running and owning a home-based business offers new owners a very inexpensive entry point. 40% to 44% of all home-based businesses often require less than $5,000 for startup.
  
  
• Home-based businesses tend to remain in the home. Less than 5 percent eventually move out of the home.
  --Small Business Administration
  
  
• The home-based business sector is growing in importance and diversity and offers opportunities for entrepreneurs and at-home professionals in every demographic and ethnic group.
  --National Black Business Trade Association
  
  
• According to the IDC, a top national research firm, there are between 34.3 million and 36.6 million home office households in the United States alone. These include income-generating home offices (18.8 million to 20.3 million) with the rest being made up of corporate telecommuter households.
  
  
• Between 1999 and 2004, IDC predicted a 7.4 percent annual growth rate for households with income-generating home offices - almost seven times greater than the 1.1 percent growth rate forecast for all households. The growth rate for corporate telecommuter households was predicted to grow by 4.8 percent per year during the same period.
  
  
• According to The Success Factory International, "America is in the midst of an extraordinary workplace transformation... the home-based business phenomenon shows no sign of slowing down."
  
  
• Information technology (IT) has enabled small, medium-sized, and home-based businesses to compete more effectively in the global market. E-commerce makes it possible for more people to start their own businesses.
  
  
• "The number of U.S. households that have a home-based business currently exceeds 12 percent."
  --Office of Advocacy, Small Business Administration