New business filings increased 8.2 percent in the third quarter of 2019 compared to the previous year, according to a new report released Friday by Tennessee Secretary of State Tre Hargett. An increase in new entity filings suggest continued economic growth for Tennessee.
The Tennessee Quarterly Business and Economic Indicators Report
showed that 11,585 new entity filings were recorded in the third quarter of 2019 by the Secretary of State’s Division of Business Services.
“This continued growth is a testament to the business-friendliness of Tennessee,” said Secretary of State Tre Hargett.
According to the report, the state economy continues to see steady gains.
The manufacturing sector saw job growth of 1.8 percent or 6,200 jobs compared to September 2018. The state’s unemployment rate is slightly below its national counterparts. The report shows unemployment fell to 3.4 in September, a 0.1 percentage point drop compared to the already low 3.5 percent rate from the month prior.
Among the four largest Tennessee counties, there were 6,856 new business entity filings recorded during the third quarter of 2019, representing a robust 12.7 percent increase over the same quarter last year. These four counties accounted for 59.2 percent of all new entity filings in the state. Davidson County recorded the largest number with 2,683, followed by Shelby with 2,440.
“Initial filings grew for the 32nd consecutive quarter, signaling that Tennessee’s economic expansion will continue through the next year,” Dr. William Fox said. Fox is the director of the Boyd Center for Business and Economic Research at the University of Tennessee, Knoxville.
Statewide, new filings of domestic limited liability corporations (LLCs) saw the strongest growth in the third quarter of 2019, expanding 11.2 percent over the third quarter of 2018.
The state also recorded 19,336 annual report filings by existing businesses in Tennessee in the third quarter of 2019 – an 18.3 decline compared to the same quarter last year.
The Tennessee Quarterly Business and Economic Indicators report is published through a partnership with the Secretary of State’s office and the Boyd Center for Business & Economic Research. Its purpose is to provide a snapshot of the state’s economy based on a variety of information, including new business data from the Division of Business Services.