Business formation plays a critical role in the local economy because startups create the most
jobs. New businesses, which are less than one year old, account for about 10 percent of all jobs
created in Corpus Christi each year.
Yet entrepreneurs in Corpus Christi as well as across the nation are facing unprecedented chal-
lenges. The pace of new business formation has slowed down since the 1990s, especially after
the 2007-2009 U.S. recession. In the early 1980s, startups made up more than 15 percent of all
businesses in the area, compared to 13 percent nationwide. Since the oil bust in 1986 took a hit
on the local economy, the new business formation rate has stayed behind the rest of the nation.
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