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THE POTENTIAL FUTURE FOR VETERAN BUSINESS OWNERSHIP
WWII Veterans Korean War Veterans Vietnam Veterans
1.8MCompanies
1.4MCompanies
1.2MCompanies
3.6MJobs
2.9MJobs
3.4MJobs
If Post-9/11 veterans — approximately 3.6 million — started businesses at rates similar to those of WWII, Korean War, or Vietnam veterans, it would equate to the creation of:11
Veterans Who Have at One Time Owned & Operated a Business9Age Distribution
WHO ARE THESE VETERAN BUSINESS OWNERS?
Veteran business owners represent an aging population. In 2012:
74% AGE 55 OR OLDER6
11.7% UNDER 457
3.4% UNDER 358
49.7%
WWII VETERANS
40.1%
KOREAN WAR VETERANS
33.3% 4.5%
POST-9/11 VETERANS10
Office of Veterans Business Development
ARE VETERAN-OWNED BUSINESSES SUCCESSFUL?
57% of veteran-owned businesses are still in operation.
# Businesses Started & Ended Each Year5 Top Reasons For Cessation
Retirement
Lack of capital,
Injury, illness, death
One-time event, sold or started business0
5
10
15
20
25
30
Started Ended
2012201120102009200019901980
OVER 200,000 VETERANS, SERVICE MEMBERS AND MILITARY SPOUSESconnect with the SBA’s Small Business Resources each year.
Join the ranks today of the next great generation of Veteran business owners!Visit www.sba.gov/ovbd to learn more.
* Sour
release (December 2015).1 Than those with no active-duty military experience 2 Chad Moutray, 2007; Educational Attainment and Other
Characteristics of the Self-Employed an Examination Using Data from the Panel Study of Income Dynamics. Research summary at https://permanent.access.gpo.gov/websites/www.sba.gov/advo/research/rs313.pdf
3 Waldman Associates, 2004; Entrepreneurship and Business Ownership in the Veteran Population. https://www.michigan.
gov/documents/Business_Ownership_in_the_Veteran_Population_110550_7.pdf
4 Versus nonveteran business owners5 Veteran-owned vs. nonveteran-owned 6 Compared to nonveteran business owners: 41% ages 55+;
25.4% ages 55-64; 15.6% ages 65+7 32.5% of all surveyed business owners were in this age group8 13.5% of all surveyed business owners were in this age group9 Camacho, Paul R., "The Status and Needs of Small
Businesses Owned and Controlled by Disabled Veterans" (2000). William Joiner Center for the Study of War and Social
Consequences Publications. Paper 1. Available at: http://scholarworks.umb.edu/joinercenter_pubs/1
10 4.5% of 3,600,000 post-9/11 veterans. Source: https://www.bls.gov/opub/ted/2016/unemployment-rate-for-gulf-war-era-2-veterans-5-point-8-percent-in-2015.htm
11 U.S. Bureau of Labor Statistics, 2016: Self-employment in the United States. Available at: https://www.bls.gov/spotlight/2016/self-employment-in-the-united-states/pdf/self-employment-in-the-united-states.pdf. Based on an average of two employees per company
VIETNAM WAR VETERANS
7.5%Personal credit card(s)
59.4%Personal or family savings
7.8%Business loans from banksor other commercial lenders
SERVICES/GOODS PRODUCTION
59.5% 55%
FINANCIAL CONTROL FOUNDED OR STARTED
67.9%
10.8%
PURCHASED
4.5%
INHERITED, RECEIVED ASA GIFT OR TRANSFERRED
85.3%
FOUNDED OR STARTED
43%57%
HOME-BASED NON-HOME
How They BeganHome-Based
WHERE VETERAN-OWNED BUSINESSES OPERATE
CAPITAL STARTUP OR ACQUISITION
HOW OWNERS SPEND THEIR TIME
23.7%do not needany capital
34.1%need less than
$5,000
50.8%need less than
$25,000
Amount
Primary Function within the Business
Top Sources
Veteran business owners not only own, but are actively involved in the daily operations of their businesses.
ARE VETERANS MORE LIKELY TO BE BUSINESS OWNERS? YES.1
15.2%
Experience4 Women-Owned
of veteran-owned businesses are
owned by women
35.7%42.4%
of veterans previouslyowned a business or were self-employed
of non-veterans previously owned a business or were self-employed
Office of Veterans Business Development
Military experience is a STRONGER PREDICTOROF ENTREPRENEURSHIP than graduate education2
OVER 1/3of veteran business owners report learning directly relevant or transferable business skills while on active duty3
VETERAN-OWNED
BUSINESS HEALTH
