Business Formation Report | June 2026
“Record-breaking formation activity through the first six months of 2026 reflects a strong sense of confidence and determination among new business owners.” – Molly Cavanah, VP Revenue Growth & Data
"June capped off a truly remarkable first half of the year for entrepreneurship in America. While people continue to navigate inflation and higher interest rates, millions of founders see opportunities in the market and are choosing to create their own financial independence."
Cite this Report
Registered Agents Inc. (2026). Business Formation Report | June 2026. Retrieved from https://www.registeredagentsinc.com/business-formation-report/
Key Takeaways
With 548,060 new businesses formed nationwide, June 2026 was the strongest on record, edging out June 2021's post-pandemic surge of 509,474 and achieving a year-over-year growth rate of nearly 12%.
So far this year, the typical summertime slump reads more static than down, with a month-over-month dip of just 3% in growth nationally from May to June. In contrast to previous years, the month-over-month growth rates for most states held steady or only pulled back slightly. A few states even demonstrated strong growth, most notably Minnesota at 15% and New Mexico at an exceptional 24%.
The first half of 2026 is the strongest on record.
Through the first six months of 2026, 3,493,831 new businesses were formed nationwide, up 14% from the same period last year. That's 442,415 more businesses than the first half of 2025, and the highest January-through-June total on record.
That amounts to nearly half a million more entrepreneurs stepping up to build a future for themselves against a backdrop of economic uncertainty and job-market squeezes.
Oregon takes the largest step in the dataset.
Oregon posted 53% year-over-year growth in June with 8,074 new formations, the highest annual growth rate in this month’s dataset. In total, the state’s year-to-date formation total is up 47% from the same time last year.
Industries like construction, manufacturing, and hospitality may be driving new formations as skilled workers move towards ownership rather than employment. These sectors saw the greatest job losses this time last year when Oregon’s unemployment rose to 4.9%, according to Common Sense Institute’s June report.
Mississippi keeps its 2026 streak alive.
For a state that rarely leads national formation conversations, 2026 is a breakout year. Mississippi has posted at least 30% year-over-year formation growth every month since February, including 46% in June. With month-over-month growth at 5% in June and year-to-date formations up 37% from 2025, Mississippi looks to extend this streak into the second half of the year.
Potential driving factors behind the growth include the second-lowest cost of living in the country and an income tax on a legislated path toward reduction under the Build Up Mississippi Act.
Whitney Ward
Public Relations DirectorState Leaderboard
Top performing jurisdictions by monthly filing total.
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State Rankings
Detailed formation volume for 51 jurisdictions.
Business Owner Survey
Insights into how small business owners view today’s economic climate
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Who is Registered Agents Inc?
Registered Agents Inc is an independently owned technology driven company and the nation’s largest provider of registered agent services, compliance solutions and full identity services. Founded in 2008, RAI was built on a simple premise: starting a business should be accessible, affordable, and straight forward. Nearly two decades later, that mission is reflected in the numbers. RAI operates in all 50 states and Washington, D.C., helping hundreds of thousands of people every year start their own business and establish a legitimate, professional presence online and in their communities.
We believe starting a business changes lives, and the ripple effect of a single new business can transform an entire community. States that make starting a business easier and faster see stronger communities and more economic growth. Our data helps paint an accurate picture of the business formation environment across the U.S., and enables business owners and state legislators to make smart decisions for their future.
About the Business Formation Report:
Because we file more business formations than any other provider in the U.S., our systems regularly track monthly data in every state. (ADP knows jobs - We know small businesses.)
In our New Business Formations Report, we make that data free to economists, journalists, policymakers, and entrepreneurs every month. We know small businesses power economic growth, and better information leads to better policy decisions that promote opportunity and independence for everyone.
Molly Cavanah
VP, Revenue Growth & Data
Whitney Ward
Public Relations Director
Kris Vaquez
Writer
Ellie Coback
Data Analyst
Inside the Business Formation Report
The Registered Agents Inc (RAI) New Business Formation Report measures business formation activity by tracking new entity filings at the state level across all 50 states and the District of Columbia. Each time a business is formally created through a filing with a secretary of state or equivalent agency, it is counted as one new formation in our dataset. Because state-level reporting timelines can vary, data is based on the most recent figures available at the time of publication and may be updated as states revise or finalize their counts.
What’s in the Business Formation Report?
- Monthly Snapshot of Business Formations Nationwide
- State-by-State Breakdown of Business Formations
- Month Over Month & Year Over Year Changes
- Client Sentiment Data – How Our Clients Feel About Their Businesses
Where does the data come from?
Business formation data is collected from the Secretary of State or equivalent agency of each state, plus Washington, D.C., as it becomes available on a monthly basis. This approach captures the full universe of new business entities, regardless of whether those businesses go on to apply for an Employer Identification Number (EIN) or hire employees.
• The U.S. Census Bureau only tracks businesses that apply for EINs and later go on to pay payroll taxes.
• Registered Agents Inc tracks every entity formed at the state level.
The RAI Business Formation Report counts all new business entities. Each time someone takes the step to file formation paperwork with their state’s secretary of state or equivalent agency, our report counts that as one formation. This is regardless of whether or not the business goes on to apply for an EIN and pay payroll taxes.
Because the U.S. Census Bureau only tracks EIN filings, the statistics the agency reports do not capture a complete picture of business formations in the country. A large portion of new businesses never obtain an EIN or go on to hire employees, and these businesses are not counted by the U.S. Census Bureau. As a result, Census data does not fully reflect total business formation activity. By contrast, RAI data provides a more comprehensive and immediate view of entrepreneurial activity in the United States.
Frequently Asked Questions
A team of data analysts, software engineers, customer service representatives and writers at Registered Agents Inc works together to compile the Business Formation Report each month.
No. At Registered Agents Inc, we have one mission: to support small business owners at every step of their journey. Our mission, and the ways in which we fulfill it, is independent of any political leanings. We have no affiliation with political parties or politically driven groups.
Interpreting data requires a nuanced approach that cross-references other data points or resources. For example, fluctuations could be affected by policy changes, GDP growth, consumer confidence, interest rates, market demand, and even the weather.
Delaware is a popular state to start a business in for a few reasons. First, it has strong privacy protections, allowing owners to start a business without listing their personal information on the public record. Secondly, there’s no state corporate income tax on income earned out of state. This benefits businesses operating outside of Delaware, but incorporated within the state.
Business formation data is collected from the Secretary of State or equivalent agency of each state, when it becomes available. Customer sentiment data is collected directly from clients to provide snapshot of economic outlook.
Yes! You can access monthly Business Formation Reports going back to September of 2024. Check out our Newsroom.
Many remote businesses choose to file in Wyoming because the state offers strong privacy protections. Wyoming is one of the few states in the country where LLC owners do not have to list their names and addresses on the public record (if they hire a registered agent).
Every time someone files Articles of Organization or Incorporation with their state business division, we count that as one business formation.
Unlike the US Census Bureau Business Statistics report, we do not differentiate between business entities that go on to hire employees and file payroll taxes. We count every entity formed, so our numbers include holding companies, single-member LLCs, and non-employer businesses.
Have questions about our findings?
Reach out for media inquiries, data clarifications, or general questions regarding this report.