AdvisorSmith Finds the Best and Worst States for Female Entrepreneurs

NEW YORK - March 30, 2021 - PRLog -- AdvisorSmith, a leading resource for insurance and small business content, released its newest study where they examined all 50 states and the District of Columbia to find the best and worst states for female entrepreneurs.

To find the states where female entrepreneurs are having the most success in their businesses, AdvisorSmith utilized data from the U.S. Census Bureau's Annual Business Survey. The survey collects data on employer firms, which are businesses that have at least one employee.

AdvisorSmith's study focused on female-owned employer firms, which translated to businesses that were majority female-owned or equally male and female-owned.

To determine the best states, AdvisorSmith examined three factors for female-owned businesses: the average employee headcount, the average payroll, and the percentage of firms with over $100,000 in revenue. AdvisorSmith weighted the three factors for each state at 25, 25, and 50 percent to determine their findings.

Nationally, female-owned businesses had nine employees on average and an average payroll of $330,171. Female-owned companies with at least $100k in revenue accounted for 1.7 percent of the female labor force nationwide.

These metrics were compared across each state to find the best and worst states for female entrepreneurs.

The best state for female-owned businesses was Massachusetts. In Massachusetts, the average female-owned company had 9.7 employees and an average payroll of $451K, both well above the national averages.

The worst state was West Virginia. Female-owned firms in West Virginia had a below-average employee count of 8.6 employees per firm and below-average employee payroll at $241K per firm. Additionally, the state's female-owned business proportion was only 1.2 percent.

To view the complete study, please visit https://advisorsmith.com/data/best-and-worst-states-for-female-entrepreneurs.

About AdvisorSmith

AdvisorSmith is a leading information resource for small business owners. AdvisorSmith empowers small businesses with original research and insights into trends to help them succeed. For more information, visit https://advisorsmith.com or follow us on Twitter @AdvisorSmithInc.