The Covid-19 pandemic ushered in a new wave of entrepreneurship across the nation and in the Wichita area — or at least among those who tried to make it work.
A Wichita Business Journal analysis of U.S. Census Bureau data shows there was a 48% increase in new business applications that were filed between 2019 and 2022 in Sedgwick County. For the entire Wichita metro area — combining Sedgwick, Butler, Sumner and Harvey counties — the increase was 46%.
Statewide, business applications increased by about 37% in the same timeframe, the data shows.
In Sedgwick County, the largest one-year spike was between 2020 and 2021, when the number of new business applications went from around 4,700 to 6,200, a 32% increase.
Explore the WBJ's Business Startup Guide: Find the Wichita organizations, people and resources you should know if you're considering taking the leap into entrepreneurship
In the midst of Covid-19, many Americans decided to strike out with new business ventures either out of necessity because of layoffs and furloughs, or because of new opportunities presented by the pandemic.
Low interest rates and a stream of stimulus funds also made the timing ideal for many new business owners.
A large number of those entrepreneurs were women. According to payroll and HR platform Gusto, 47% of firms started in 2020 were owned by women. That pace held steady in 2021 (49%) and 2022 (47%). Before the pandemic, women accounted for 29% of entrepreneurs.
This U.S. Census Bureau tracks new business applications — so it's unknown whether or not these attempts were successful.
In May, the WBJ asked Mary Beth Jarvis, president and CEO of NXTUS Inc., if there are any common threads that make for a successful business startup.
"Their business is solving a clear and painful problem," Jarvis answered, "with an offering that is markedly better than the other options available, and they’re truly committed to 'listening' to what their intended customer wants (not just what they think they should want). In addition, they are willing to put themselves out there and a drive that pushes them through challenges, even when it means finding a fail-forward path from a setback."
