According to a recent analysis by the Federal Reserve Economic Data department, Louisiana has experienced significant growth in business applications since 2005. In fact, among the states with the highest growth rates in new business applications adjusted for population size are Wyoming, Delaware, Mississippi, Georgia, and Louisiana.
Data scientists at the Federal Reserve have highlighted that states with low or no corporate and personal state income taxes, as well as strong privacy laws regarding business ownership, tend to lead in business starts. In Louisiana, this trend is evident as business applications are beginning to rebound in 2024 after a steady decline since January. In May, there were 6,693 business applications filed, representing a 14% increase from the previous year.
These findings indicate a positive trend in business growth in Louisiana and suggest a favorable environment for new business ventures. The state’s policies and economic conditions are likely contributing factors to this growth and position Louisiana as a leader in new business applications in the United States.
Overall, these statistics highlight the importance of creating an environment conducive to entrepreneurship and innovation. States that prioritize policies that promote economic growth and provide incentives for businesses to start up may see increased levels of activity in this area over time.
