14th annual Michigan Entrepreneurship Score Card findings
May 1, 2018
The Michigan Entrepreneurship Score Card offers insight and rankings for each state on Entrepreneurial Climate, Entrepreneurial Change and Entrepreneurial Vitality. The Score Card is used to keep tabs on Michigan’s performance in these areas as we work to cultivate a vibrant entrepreneurial economy.
Michigan remains a top performer among the Industrial Midwest states, although the remarkable growth trajectory in Michigan’s key entrepreneurial metrics has leveled off. Here are some key takeaways:
- Michigan’s overall entrepreneurial economy is better today than 10 years ago, and business dynamism is encouraging.
- In the areas of key technology and high-skill economy, Michigan leverages its advantages well despite slippage from previous years.
- The general business climate in Michigan is improving (although still below average) but healthcare premiums remain an issue.
- Michigan’s Quality of Life supports and attracts entrepreneurs.
As we look at the future of Michigan’s economy, it is clear that supporting second stage company growth is crucial. Stage 1 firms led net job growth creation as Michigan emerged from the Great Recession. However, as the expansion has matured, second stage companies transitioned into the primary creator of net new jobs. Of the 1.13 million net jobs added to the Michigan economy the past 15 years, 51% have been created by second stage businesses.
- Second stage companies by stage employ the most workers (41%) in the private sector.
- From 2015 to 2016, when nearly 290,000 net new jobs were created, 68% of these net new jobs created by second stage companies.
The Score Card is released by MiQuest, a nonprofit organization serving Michigan’s entrepreneurial community. The Score Card is sponsored by Blue Cross Blue Shield of Michigan, Consumers Energy, DTE Energy Foundation, MSHDA, Michigan Municipal League, MiBiz, the Michigan Association of State Universities and the Small Business Association of Michigan. For a complete copy of the Score Card – 2018 Edition – click here.