The entrepreneurial spirit is alive and well, despite the economic stresses that make it difficult to start a business.
In 2010, 0.34 percent of American adults created a business per month, representing the highest level in the past 15 years, according to the Kauffman Foundation.
As the economy continues to recover, job growth, normalizing credit conditions, and consumer spending will translate into “more money in the pockets of consumers and various opportunities for new businesses,” says Brian Bueno, an economic research analyst at Ibis World, an industry research publisher.
Among the 11 sectors that Ibis World has identified as growth areas is online survey software industry. Many companies have reduced their use of marketing, and the surveys are a “low-cost way to engage their existing and potential customers at a fraction of the cost,” says Bueno. He adds that start-ups in this industry have an easier time, because costs are usually don’t require loans, and are maintained at a low levels.
In addition, Bueno says internet publishing and broadcasting, e-commerce and online auctions sectors have also established themselves in the U.S. economy.
Bueno says these industries offer the best prospects for entrepreneurial endeavors because they ”require little capital intensity and investment to enter. And there is substantial growth.”
While the U.S. manufacturing sector is projected to shrink, demand in the business service and technology sectors is anticipated to spur business creation. Based on research, Ibis World has identified the top 11 industries that are hot for start-ups including:
Corporate wellness services: As healthcare costs rose and discounts were implemented for employees participating in wellness programs, more corporations demanded services from corporate wellness providers. Demand is projected to grow because firms will also want to increase their employees’ productivity. From 2011 to 2016, the number of industry firms is expected to increase at an average annual rate of 8.7 percent to 10,406 companies.
Human resources and benefits administration: The Human Resources and Benefits Administration industry is set for rapid annual enterprise growth of 4.1 percent on average over the next five years as companies seek out new hires, Ibis World estimates.
Scientific and economic consulting: According to the Bureau of Labor Statistics, consulting industries are projected to have one of the highest employment growths over the 10 years to 2016.
Functional/relaxation beverages: Ibis World estimates industry revenue grew at an average annual rate of 68.7 percent over the five years to 2011, totaling $73.7 million.
Street vendors: This sector is projected to achieve average annual revenue growth of 3.7 percent over the five years to 2016, to total $1.7 billion.
Ethnic supermarkets: In 2012 alone, an estimated 365 new ethnic supermarkets will sprout across the United States, according to Ibis World estimates.
Wineries: As the millennial generation becomes wine consumers, many are developing a stronger preference for American wines, which is boosting winery development. Over the next five years, the number of wineries in the United States is forecast to increase at an average annual rate of 2.3 percent to 9,097.
Social network game development: Over the five years to 2011, industry revenue is projected to grow an average of 24.4 percent annually.
Internet publishing and broadcasting: Little labor input, low barriers to entry and limitless options for website or application development.
Online survey software: More changes in media consumption habits will occur, with operators shifting toward customizing surveys for social and mobile media.
E-commerce and online auctions: In 2012, nearly 2,000 U.S.-based e-commerce firms are expected to enter the industry.