Washington, DC – Women-owned firms are keeping pace with all firms according to the biennial update from the Center for Women's Business Research.  As of 2008, the Center projects that the 10.1 million women-owned firms, that are 50 percent or more women owned, employ 13 million people and generate nearly $2 trillion in annual revenues.  These firms represent 40 percent of all firms.

The new projections also show that there are 7.2 million majority-owned (51 percent or more) women-owned businesses that employ 7.3 million people and generate $1.1 trillion in annual revenues.  Majority women-owned firms comprise 29 percent of all firms.

Women-owned firms exceed the growth rate of all firms 10 percent to nine percent, matched the growth in employees at two percent, and grew their revenues by 14 percent compared to 15 percent for all firms.

"The 2008 figures validate the success and progress women business have made as they continue to be the fastest-growing segment of entrepreneurship in the country," said Michelle Thompson-Dolberry, director, advocacy marketing at American Express OPEN. "The continued success of women-owned businesses across the board is so important to helping create jobs and drive economic growth."

Retail trade has the largest number of firms owned by women (1.4 million) and wholesale trade generated the most sales (over $400 billion). With more than two million, accommodation and food services has the most employees.

Between 2002 and 2008, the five fastest growing states for women-owned firms (in rank order with fastest growing listed first) are: Nevada and Arizona (tied for fastest growing), Florida, Texas, Maryland and Georgia.

For the same time period, the five fastest growing metro areas for women-owned firms are: Orlando, FL; Raleigh, NC; Atlanta, GA and Riverside, CA (tied for third); Charlotte, NC; and Phoenix, AZ (in rank order with fastest growing listed first).

This year is the 9th biennial update of women-owned firms published by the Center for Women's Business Research.  The Center is the only organization that consistently tracks the growth and economic impact of women-owned businesses.

To purchase individual reports or an entire set, please send an email to info@womensbusinessresearch.org.

About the Center for Women's Business Ownership

The Center for Women's Business Research provides data-driven knowledge that advances the economic, social, and political impact of women business owners.  We do this by setting the national agenda; creating insight on the status and achievements of women business owners; altering perceptions about the economic viability and progress of women-owned enterprises; and driving awareness of the economic and social impact of this vital business sector.  Find out more online at www.womensbusinessresearch.org.

About American Express OPENsm

American Express OPEN is dedicated exclusively to the success of small business owners and their companies.  OPEN supports business owners with exceptional service.  With tailored products and services, the team delivers purchasing power, flexibility, control and rewards to help customers run their business.  Specifically, business owner customers can leverage an enhanced set of products, tools, services and savings, including charge and credit cards, convenient access to working capital, robust online account management capabilities and savings on business services from an expanded lineup of partners.  To obtain more information about OPENsm, visit OPEN.com, or call 1-800-NOW-OPEN to apply for a card or loan.  Terms and conditions apply.

American Express Company www.americanexpress.com is a leading global payments, network and travel company founded in 1850.

Methodology

The 2000 Census uncovered, and Census population projections since 2000 substantiated, a dramatic upward swing in the number of people who identify as racial and ethnic minorities.  This change, coupled with the huge shifts in industry classification which occurred in the 2002 Economic Census (from SIC to NAICS codes), provided the impetus for the Center for Women's Business Research to revisit the formula used for its biennial projections of women-owned businesses.

The Center for Women's Business Research engaged the nationally-recognized Center for Regional Analysis at George Mason University to develop a new, more sophisticated and economic-based formula that takes into account these dramatic shifts in population and industries.  This formula can be used for at least the next several years.  The 2008 biennial update on the number, employment and revenues for women-owned firms uses this new formula for the first time.

The new projection formula is a modified shift-share analysis which is a technique most often used by regional scientists to decompose economic changes into a segment attributable to overall national economic growth, a segment attributable to changes in the mix of industrial sectors in the economy, and a segment attributable to the share of economic growth attributable to the particular geographic region. The shift-share analysis is predicated upon several sources of existing data including Bureau of Economic Analysis, Bureau of Labor Statistics, Small Business Administration, U.S. Census Bureau Population and Population Projections, U.S. Census Bureau, Survey of Small Business Owners.

The 2002 Economic Census is the baseline.  As such, previous projections by the Center for Women's Business Research are not compatible with the new formula, and thus, trends using both the previous formula and the new formula are not recommended.

For further information regarding methodology, please contact Dr. Gwen Martin at the Center for Women's Business Research.

Contact:  Juanita Weaver
Center for Women's Business Research
202.638.3060
jweaver@womensbusinessresearch.org

Rosa M. Alfonso
American Express OPEN
212.640.1712
rosa.m.alfonso@aexp.com