The GoDaddy/UCLA Anderson Forecast Microbusiness Activity Index 2024 Annual Update

This annual report on the U.S. Microbusiness Activity Index (MAI) provides an update on microbusinesses, incorporating data up to March 2024. It covers the national, states, metropolitan areas, and counties. Highlights include:

• Recent months have seen a rise in the MAI, driven by increased microbusiness engagement and Generative AI tool adoption, enabling entrepreneurs with limited resources to boost productivity and compete effectively with larger companies.
• After controlling for various factors, we find evidence that the MAI, and its sub-indices: the infrastructure index and participation index are associated with local job growth.
• On average, we find evidence that an additional entrepreneur is correlated with an increase of 7.4 local jobs. Microbusiness participation also contributes positively to local labor force participation.