Last week was National Small Business Week, so we are taking a look at the contributions on immigrants to business in the US.
A new study from the National Bureau of Economic Research on immigrant entrepreneurs shows the how much immigrant-founded businesses add value to the economy of the nation as a whole. This is particularly true for the economies of the largest states. Immigrants create about 25 percent of new businesses in the nation (those five years old or less), but in California, New York, New Jersey, and Florida, immigrants created more than 40 percent of new businesses.
These businesses show the wide range of skills and talents brought to America communities and a real economic boon. Immigrant-led households across the United States contributed a total of $223.6 billion in federal taxes and $104.6 billion in combined state and local taxes in 2014. And residents of immigrant-led households had $926.9 billion in collective spending power (after-tax income) in 2014.
Other studies shed even more light on the economic importance of immigrant entrepreneurs. For instance, 3.3 million immigrant business owners accounted for 20.3 percent of all self-employed U.S. residents in 2015 and generated $72.3 billion in business income. In 2015, immigrants accounted for 21.9 percent of all business owners in 50 of the largest U.S. metropolitan areas.