The November 2019 ADP Small Business Report shows another month in which franchises are generating large number of jobs. Generally, this is a segment that shows considerably lower numbers, however, it hasn’t been the case the past couple of months.
November 2019 ADP Small Business Report
In October, franchises created 30,100 jobs. Although the number of jobs created was lower for November, it still stands at a healthy 24,600. The fact that franchise hires are growing is an indicator of the opportunities this segment provides. Especially for first time and small entrepreneurs looking to start their own business.
Franchising and Small Business
Franchising is one of the best ways for first-time entrepreneurs to get their feet wet as business owners. This is because they allow new entrepreneurs to start and learn how to run a business from the get-go.
Everything from operations to hiring, purchasing, marketing, advertising, and finances are part of a process. By simply following this process you can run a franchise without too many hiccups. And if you do need help, the franchisee is there to lend a hand. And with many franchises available under and over $10K, there are huge opportunities. As the ADP National Franchise Report shows, more people are taking advantage of these opportunities and hiring people.
The Franchise Report
The total of 24,600 jobs for November comes mostly from restaurants. This industry generated 15,100, which was followed by auto parts and dealers with 7,700 jobs. Accommodations, food retailers, and real estate came in with 400, 200 and 100 jobs respectively.
Small Business Report
It is not often when the number for small businesses is lower than franchises. But this is the case for this month with only 11,000 jobs for November.
Businesses with 20-49 employees came up with 25,000 jobs, but companies with 1-19 employees were on the negative side with -15,000 jobs. In contrast, the goods-producing sector was noticeably lower this month with -7,000 jobs.
National Employment Report
Nationally ADP says a total of 67,000 jobs were created in November on a seasonally adjusted basis. The biggest segment was midsized companies with 50-499 employees, which managed to generate 29,000 jobs.
Large companies with 500 or more employees came in next with 27,000 and small businesses with 11,000 jobs.
Just as the data for small businesses, nationally the goods-producing sector lost -18,000 jobs. But the service-providing sector came in with 85,000 jobs. In this case, jobs in finance, education and health, leisure and hospitality and other services.
The data for the ADP National Employment report is from actual, anonymous payroll data from the companies ADP serves. The report measures around 24 million U.S. workers. In collaboration with Moody’s Analytics, Inc, ADP Research Institute produces the report every month.
Image: ADP More in: Small Business Growth