Resilience pays off: 75% of microbusiness owners bounce back after setbacks, reports GoDaddy

Originally published on GoDaddy

TEMPE, Ariz., Dec. 9, 2024 /CSRwire/ — For many microbusiness owners, closing a business isn’t the end, it’s the start of something new.

According to GoDaddy Venture Forward 2024 Annual Report75% of microbusiness owners who close their businesses don’t give up, even if their efforts didn’t bring in a profit. Instead, they persist and start new businesses. Of these, 39% become the main income earner in their household.

Resilience boosts microenterprises

Microbusiness owners have more self-confidence. They are less influenced by economic uncertainty. Only 39% say they are confident in the national economy. But 74% are optimistic about their business prospects in the next six months. Even among people who are pessimistic about the economy, one in four people plan to hire within a year. Entrepreneurs make decisions based on the needs of their business rather than economics.

Microenterprises, macro impact

Microbusinesses are the cornerstone of the American economy. Many are starting small, with 34% starting with side hustles and over 70% leveraging an online presence to fuel their growth.

GoDaddy’s Venture Forward study highlights that at the county level, each entrepreneur creates an average of seven jobs, up from just two in 2020. Additionally, 58% say their work helps their local community.

Progress on Equity and Representation

The face of microbusiness ownership is changing. Women now own 51% of microbusinesses, up from 41% in 2019. Today, nearly a third of women owners are the breadwinners. Black-owned businesses are also on the rise, with women driving much of that growth. Older entrepreneurs are also joining the wave, with 19% of owners now aged 55 and over. This diversity in age, gender and race reflects a dynamic and evolving entrepreneurial landscape.

“Setbacks often lead to new beginnings and new opportunities,” said Alexandra Rosen, global head of GoDaddy Venture Forward. “These entrepreneurs show how perseverance can translate into profit and impact, not only for their households but also for their communities.

“Microbusinesses remain essential to local economies and are the heart of neighborhoods,” Rosen added. “At GoDaddy, we are proud to share these data-driven insights and provide the tools and support that help these businesses succeed. Microbusinesses may be small, but they are powerful.

About GoDaddy Venture Forward

GoDaddy’s Venture Forward research initiative analyzes more than 20 million online businesses with a digital presence (measured by a unique domain and active website). Most of these businesses employ fewer than ten people, each of which is classified as a microenterprise. Since 2018, Venture Forward has surveyed more than 50,000 entrepreneurs with a digital presence, making it the go-to source for microbusiness data and insights. To learn more about GoDaddy’s Venture Forward research, visit www.godaddy.com/ventureforward.

About Godaddy

GoDaddy helps millions of entrepreneurs around the world start and grow their businesses. People come to GoDaddy to name their idea, create a website and logo, sell their products and services, and accept payments. GoDaddy Airo, the company’s AI-powered experience, makes it faster and easier for a small business to grow by helping them get their idea online in minutes, drive traffic and increase sales. GoDaddy’s expert guides are available 24/7 to help you. To learn more about the company, visit www.GoDaddy.com.

*66% of microbusiness owners agree with the statement “life is better as an entrepreneur.”

Source: GoDaddy Inc.