Kauffman Foundation State Entrepreneurship Indicators: Texas & Neighboring States
Bottom Line: Texas is the 5th most entrepreneurial state in the nation according to the Kauffman Foundation's Early-Stage Entrepreneurship Index (KESE), which aggregates entrepreneurship rates, jobs created by startup, entrepreneurship by choice (rather than necessity), and survival rate after one year. While Texas leads its geographic peers by its KESE score, it does not lead in every component. For instance, Oklahoma has a higher percentage of new entrepreneurs who create businesses by choice instead of necessity. And Louisiana has a greater share of startups that are still active after one year. Texas does lead its geographic peers in entrepreneurship rate and the average number of startup jobs created.
- 42 out of every 1,000 Texas residents starts a business each month, helping make Texas one of the most entrepreneurial states in the nation.
- 84 percent of Texas entrepreneurs create their business by choice, rather than necessity, below the 88 percent rate of nearby Oklahoma.
- Texas creates an average of 5.7 jobs per startup -- a significantly faster rate than its geographic peers.
Read the full report HERE.