But Dennis says such sharp regional disparities in business creation reflect a confluence of economic factors and can't be attributed solely to labor market tightness. The NFIB's Dennis stresses that even with a business-start slowdown, the impulse to create new companies is hearty. People from all segments of the population are dipping their foot in and giving it a try. That's a healthy sign. DeDominic says she sees the tight labor conditions encouraging workers to become self-employed consultants.
People are more willing to leave their jobs to go independent.
Indeed, the NFIB reports that most new business starts were in the service industries. About one in four were in wholesale and retail trade, once traditional small-business strongholds. The McGraw-Hill Companies Inc. All rights reserved.