Nashville entrepreneurs think its good time to start a new business in Middle Tennessee — if they can find the workers to staff it.
That’s according to a recent survey of Entrepreneurs’ Organization Nashville chapter members, which found that 59% of Music City entrepreneurs are “somewhat likely” or “very likely” to launch a new business in 2022.
The Entrepreneurs' Organization is a peer-to-peer network for entrepreneurs with 140 chapters across 50 countries. EO Nashville is the organization’s third-largest chapter, with more than 280 members operating businesses generating more than $2 billion in annual sales and employing more than 12,000 people, according to a news release.
“It’s wonderful to see such a high level of optimism among Nashville and Middle Tennessee entrepreneurs,” EO Nashville President Amy Tanksley, owner and CEO of Uncle Classic Barbershop, said in the release. “Not that I’m surprised. Optimism is an essential tool in the entrepreneur’s toolkit. And there is certainly reason to be optimistic here in Middle Tennessee, thanks to our historically strong and increasingly diverse economy. Our members see that, too – with a large majority saying that the local economic climate has a favorable impact on their business. We all look forward seeing what the new year brings.”
The survey’s findings are another sign that Middle Tennessee is on its way to recovering from the financial setbacks of the Covid-19 pandemic. The Greater Nashville area’s unemployment rate dipped to 2.6% in November, down from a pandemic high of 15% in April 2020. Nashville startups have also seen the return of investment dollars, with some record rounds of funding.
Those factors show up in the EO Nashville survey, with less than 14% of business owners signaling they are “somewhat” or “very” concerned about securing funding in the new year. However, respondents are worried about finding talent, with 40% saying it was one of their top concerns.
Business owners are opening their checkbooks to combat those worries, with staffing, compensation and marketing named as the top areas of investment for those surveyed in 2022.
EO Nashville members are optimistic about Middle Tennessee’s economy, with 65% saying the local economy is having a “somewhat favorable” or “very favorable” impact on their businesses, according to the survey. That impact has business owners feeling positive about 2022 revenues, with 89% of respondents expecting revenue to increase this year compared to 2021.
For more survey results, check out the charts below.
