U.S. Business Applications Rise 17% in First Half of 2026

Census data show 3.1 million Americans filed paperwork to start businesses in the first half of 2026, up nearly 17% from 2.6 million filings in the same period of 2025. The rise occurred even as revised Labor Department data recorded 181,000 jobs added by U.S. employers during the period.

One 22-year-old who graduated from Emmanuel College in Boston last summer opened a boutique in Clinton, Connecticut, after submitting more than 100 job applications.

Some owners converted side work into full businesses after using it to cover rising costs of essentials. One financial education platform founder left a 9-to-5 role three and a half years after starting the venture and now runs it as a multi-million-dollar operation.

A Harris Poll survey conducted for INTOO found 61% of employees reported layoff anxiety in 2025. A Reuters/Ipsos poll this year found more than half of Americans fear artificial intelligence could cost them or a household member a job. Some owners said free AI programs now handle marketing, bookkeeping, and social media tasks that previously required one person to complete.

A 2026 Wells Fargo report found women-owned businesses rose 12.1% from 2022 to 2025, reaching 15.7 million, while men-owned businesses grew 6.3% to 20.4 million. The same report noted the number of business applications rose gradually through the 2010s, jumped in 2020 and 2021 during the COVID-19 pandemic, and has accelerated since.

One participant in an entrepreneurship program said women are recognizing that traditional work structures do not accommodate caregivers seeking time and autonomy. New owners are advised to calculate the minimum monthly income needed to cover expenses and to promote their businesses consistently.