Kauffman Indicators

Why is there missing data for some years and regions and not others?

Calculations are provided for regions, years, and business age groups for which the underlying data are available. There may be missing data related to coverage in the underlying data.

Why did the national values for the rate of new entrepreneurs and the opportunity share of new entrepreneurs diverge from average state values in 2021?

To increase the precision of the estimates, three-year moving averages are used in the construction of the state and demographic values for the rate of new entrepreneurs and the opportunity share of new entrepreneurs. For example, the rate of new entrepreneurs for a state (or demographic category) in 2021 is calculated by summing the rate of new entrepreneurs for that respective state in 2019, 2020, and 2021, and then dividing by three.

The sample sizes for the national estimates are large enough that one year of data is sufficient. Therefore, national values use one year of data whereas the state and demographic values are constructed using three-year moving averages for the rate of new entrepreneurs and the opportunity share of new entrepreneurs. Because three-year moving averages do not move as quickly as the estimates with one year of data, the state and demographic values for 2020, when COVID-19 occurred, do not change as much as the national values.

The other indicators in the Early-Stage Entrepreneurship series – startup early job creation, startup early survival rate, and the KESE index – are not three-year moving averages.

What data sources are used to produce the Early-Stage Entrepreneurship series?

The U.S. Census’s Current Population Survey (CPS) and the Bureau of Labor Statistics (BLS) Business Employment Dynamics (BED) are the underlying data sources for the Early-Stage Indicators. The Business Formation Statistics (BFS), Business Dynamics Statistics (BDS), and Population Estimates Program (PEP) are the underlying data sources for the New Employer Business Indicators.

Do you have demographic data for individual states or for groups other than those presented on the website?

Due to constraints with the sample sizes of the source variables, we are unable to produce accurate measures for demographics at the state level. Nationally, we present all available demographic groups for which we can produce accurate estimates on the website.

How are demographic groups categorized in the Kauffman Indicators of Entrepreneurship?

The Kauffman Indicators of Entrepreneurship uses the same language for demographic categories as the underlying data sources.

Why do you not have demographic data for the startup job creation and startup survival rate indicators or any of the New Employer Business Indicators?

Those variables are produced using the BLS BED statistics and Census Bureau BFS statistics. These data sources do not include data on the demographics of who owns businesses. As such, we are unable to report demographic breakdowns for those indicators.

For how many years is data available? Is there additional data available for other years?

The website generally provides all of the data we have available. Generally, we have data back to 1998 for the two CPS-derived indicators (rate of new entrepreneurs and opportunity share), and 1996 for the two BED-derived indicators (startup job creation and survival rate). The New Employer Business Indicators are presented from 2005 through the most recent year of data available for each metric.

Why is Kauffman no longer ranking states or cities?

A major goal of the Kauffman Indicators is to provide useful measures for types and stages of entrepreneurs, as well as across geographies and demographic groups where possible. Individual stakeholders such as state policymakers and entrepreneurship support organizations may have different priorities and needs. Furthermore, small year-to-year variations in the indicators could result in larger shifts in the overall rankings, even if the underlying conditions are largely the same. As such, we felt that users could choose how to use and interpret each of the indicators or the index as appropriate for their needs.

Where can I go to download the data?

The datasets used to inform Kauffman Indicators can be downloaded here.

What happened to the Kauffman Index?

The Kauffman Indicators are intended to provide a broad and balanced perspective on measuring the complex phenomenon of entrepreneurship.

In 2018, in order to provide information that was actionable and directly relevant to users, the Kauffman Foundation retired the Kauffman Index of Entrepreneurship and replaced it with the Kauffman Indicators of Entrepreneurship. The Kauffman Foundation received input from policymakers, researchers, and other stakeholders about how to accomplish clearer indicators, as well as provide timely and current information in the context of existing data constraints and a focus on the nature of entrepreneurship. Learn more about the historical Kauffman Index >

The Kauffman Indicators offers in-depth exploration of economic trends in the United States by specific categories, geography, and time across four key topics.