New U.S. business applications for December 2024, adjusted for seasonal variation, reached 457,544, marking a 1.5% increase from the previous month, according to federal government data released on Friday.
In the Northeast region, there were 65,821 new business applications filed, representing a rise of 3.8%. A business application is defined as the initial act of applying for a business license or Employer Identification Number (EIN), indicating an intention to start a business.
The U.S. Census Bureau projects that there will be 28,835 new business formations with payroll tax liabilities nationwide within four quarters of December 2024. This projection reflects a 2.6% increase from the prior month's forecast.
December's business applications by industry revealed significant percentage increases in Arts & Entertainment (+8.1%), Information (+7.7%), and Manufacturing (+7.4%). Retail was the only sector experiencing a decline in its percentage of new business applications at -8.6%.
The U.S. Census Bureau’s December 2024 Business Formation data can be accessed online.
