New Jersey has been ranked second in the nation for the success of female business owners, according to a recent study by Osum, an AI-powered market research tool. The study, which utilized data from the U.S. Census, highlights significant growth in women-owned businesses, showing a 16% increase over the past five years. This growth rate is double that of male-owned businesses, which have expanded by just 8% during the same period.
The ranking is based on multiple metrics from U.S. Census data, including the percentage of female business owners earning over $100,000, average earnings, business growth rates, and the earnings disparity between male and female entrepreneurs. Connecticut emerged as the top state for female business ownership success, with Nevada coming in third. Iowa, South Dakota, and Maine are reported to have the least success among female entrepreneurs.
In New Jersey, 14.5% of female business owners earn over $100,000, placing it just behind the District of Columbia. The average annual income for female business owners in the state is notably high at $63,686, and the number of female business owners has seen a growth rate of 25%. The most popular industries for female entrepreneurs in New Jersey include real estate, childcare, and consulting services. Conversely, sectors such as fishing and hunting, security services, and power generation are less frequented by female business owners.
The study also notes that while male business owners in New Jersey earn an average of $40,107 more annually than their female counterparts, women in certain industries, such as clothing stores and automotive rental, outperform their male peers.
The four key metrics used in the study were: average earnings of female-owned businesses, the percentage of female business owners earning over $100,000, the growth rate of female-owned businesses, and the earnings gap between male and female entrepreneurs. This comprehensive analysis underscores New Jersey’s robust environment for female business success and highlights ongoing areas for improvement.
