Like the rest of the U.S.s, Georgia’s small business community provides the backbone of its economy. When looking at the state’s economy, employment statistics from the U.S. Bureau of Labor indicate continued gains in employment opportunities. Additionally, the state’s 1.1 million small businesses make up 99.6% of all enterprises in the state.
Furthermore, Georgia also continues to be among the top U.S. states with an AAA credit rating. Interestingly, Georgia’s founder, James Oglethorpe, proposed using the colony to hold debt defaulters.
Thanks to its favorable business climate and excellent economic development agency, Georgia continues to rank highly among the best states for business startups.
Most Interesting Business Statistics and Facts for Georgia
Here are some interesting business facts and statistics from Georgia:
1. Small Business Employment Statistics
With a huge variety of entrepreneurial ventures in the state, small businesses with less than 500 employees employ 43.14% or approximately 1.7 million of the state’s workers. Small businesses continue to create jobs, but Georgia is the fourth least dependent state on small businesses for employment.
2. Business Friendly State
Georgia is known for its business-friendly legislation and favorable taxes. The state’s income tax level of 5.75% matches its low corporate taxes. However, business owners must remember that the state also has a sales tax of 4% plus a county sales tax. Therefore, every business owner needs a State Tax Identification Number to accommodate the payment of state taxes.
3. Starting A Business in Georgia
One of the most prevalent small business structures in Georgia is an LLC. Starting a Gergia LLC requires just a few simple steps, including naming it, appointing a Georgia registered agent, and filing the business Articles of Organization with the state.
You pay $100 for an online or $110 for a mail filing of your LLC articles of Organization when sending the application to the Georgia Secretary of State. Your LLC approval takes up to 7 business days with an online filing and up to two weeks for mail filings. Furthermore, most small businesses also require an annual buying service license costing $50.
You can also register a fictitious name for doing business in the state, also known as a DBA (Doing Business As). You file for this with the county your company operates in, and the filing cost is $159.
The two final steps for creating your Gerogia LLC are creating an Operating Agreement and registering for taxes by getting an Employment Insurance Number (EIN) from the IRS.
4. Supportive Communities and Customer Loyalty
Georgia is known for its supportive communities and strong networking organizations. Additionally, most business owners say that customer loyalty remains the main reason they enjoy doing business in Georgia. The support for local commercial activities from networking organizations helps to connect entrepreneurs to mentors and funding sources, especially for specific startup groups like veterans, women, differently-abled, minorities, etc. The state is known for supporting diverse groups and has over 200,000 self-employed minorities.
5. Georgia’s Industries
Georgia has a diverse geography and affordable cities, making it home to various industries. Besides being home to Coca-Cola and Delta Airlines headquarters, the state has a robust agricultural sector with many businesses gravitating off that. In addition, manufacturing, defense, IT, energy, logistics, and aerospace are other vital industries in the state.
Some main sectors where small businesses play a very active role include profession, scientific & technical services, construction, real estate, retail, and the administrative sectors. Furthermore, small firms generate over 26% of Georgia’s export income.
6. Financial Assistance
Besides traditional business funding, Georgia startups have access to an active angel investor community and venture capitalists. The state also has development hubs for business support and a competitive labor market thanks to its education system and skilled workforce.
Final Comments
Overall, Georgia, also known as the Peach State, remains a favorable state for business owners thanks to its governance pro-business approach and access to some large consumer markets. Additionally, the state has an excellent infrastructure with easy air, land, and sea access, making it increasingly popular with companies and entrepreneurs from other states and countries. Finally, forming an LLC in Georgia requires just a few easy steps, making it favorable for people with innovative business ideas.
