Small businesses and startups are the heart of America's economy. The number of employees, after all, at a company like General Motors may not change all that much from year to year, but a new small business starting up may have one employee the first month, three after a year, and 20 a year later, if things go well. That's where job growth comes from. That's where wealth is produced and earned. And now, in the first half of 2026, the American economy has seen the creation of 3.5 million new businesses.
Registered Agents Inc., a business formation service provider, released its June 2026 business report. It found that the U.S. added 3,493,381 businesses in the first six months of 2026, despite economic pressures and uncertainty in global markets.
The month of June alone showed an increase of 548,060 businesses, a greater increase over the June 2021 post-pandemic surge of 509,474. The June 2026 increase is also substantially more than June 2025, where the economy added 490,265 businesses.
Overall business growth also exceeded the same time period as last year. The economy had a 12% year-over-year increase compared to the same time period in 2025.
Even in the summer now underway, when business growth usually drops off some, the American economy stayed stable, The Center Square story on the report, linked above, said.
“This represents 442,415 more businesses than the first half of last year, illustrating a massive wave of nearly half a million more entrepreneurs stepping up to build against a backdrop of economic uncertainty and job-market squeezes,” the report reads.
Typically, the report said, the summer season shows a dip in business creation. However, this year’s business growth showed to be more flat than deflated.
“June capped off a truly remarkable first half of the year for entrepreneurship in America,” said Molly Cavanah, vice president of Revenue Growth and Data at Registered Agents Inc. “While people continue to navigate inflation and higher interest rates, record-breaking formation activity reflects a strong sense of confidence and determination among new business owners.”
Why is this important? Because it speaks to confidence in the American economy, and more so than the usually-touted consumer confidence. Oh, consumer confidence is important, too, and worth watching, but the new business startup figure takes into account the number of people willing to invest considerable time and resources starting up a business, and being willing to take a risk that, if it fails, it could cost everything.
That takes a whole new level of confidence in the economy.
Read More: Your Kid May Graduate Into an Economy That No Longer Needs Entry-Level Workers
What's interesting about this is that it isn't exactly the most stable business climate the United States has ever seen. We're in the middle of combat operations with Iran, the world's foremost state sponsor of Islamic terrorism. The President, only earlier this week, brought us details of what we can only describe as massive interference in our elections, much of that coming from China, our primary geopolitical rival. Democrats in Congress and out are shouting doom and gloom at every turn, until it's enough to make one look up to see if the sky really is falling.
And yet, people are starting up new businesses at a record-breaking pace. Some of the greatest growth comes from places we might not expect, but it's still good:
Registered Agents Inc. also analyzed how all 50 states were adapting to the business growth trends. The report found Oregon took the lead in June 2026 with a 53% year-over-year increase in business formation from the same time period in 2025. More than 8,000 businesses were included in Oregon’s growth total.
“Industries like construction, manufacturing, and hospitality may be driving new formations as skilled workers move towards ownership rather than employment,” the report reads.
Mississippi and North Dakota also had some of the highest year-over-year increases for business growth at 46% and 44%, respectively.
There's another tidbit in this report that may provide some advice for young people starting: Two of the hottest industries are construction and manufacturing. In the next few years, a skilled welder, carpenter, or mechanic may have much better job and business prospects than many a college graduate.
And, yes, this is what we voted for.
Editor’s Note: Thanks to President Trump’s leadership and bold policies, America’s economy is back on track.
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