Colorado business filings signal employment growth

Richard Wobbekind
Richard Wobbekind
Wayne Williams
Wayne Williams

Employment is expected to slow, but continue to grow in Colorado during 2018, based on the latest analysis of business filings in the state.

“In the short term, Colorado is positioned very well, with employment levels projected to increase over the next six months,” said Wayne Williams, secretary of state.

The business research division of the Leeds School of Business at the University of Colorado at Boulder prepares quarterly reports using information from the secretary of state’s office about new businesses registering with the office and existing businesses renewing registrations.

“While Colorado employment will continue to be positive and stronger than the nation, growth in 2018 will be more subdued than in 2017,” said Richard Wobbekind, director of the division. “The low unemployment rate, coupled with slow growth in the prime working-age population, will constrain potential growth.”

For the third quarter of 2017, 28,372 new business filings were recorded. That’s a 4.6 percent decrease from the second quarter, but a 5.1 percent increase over the third quarter of 2016.

For the four quarters ending in the third quarter of 2017,115,313 new filings were recorded. That’s an increase of 6.7 percent over the same span in 2016.

There were 127,228 renewals for existing businesses during the third quarter of 2017. That’s an increase of 3.1 percent over the second quarter and 6.6 percent over the third quarter of 2016.

The 656,144 businesses in good standing in Colorado in the third quarter of 2017 constituted a 5.9 percent increase from the same quarter in 2016.

In addition to business filings, other indicators point to continued economic growth in Colorado, the reported stated.

Gross domestic product, the broad measure of goods and services produced in the state, increased 2.4 percent between the first quarter of 2017 and the same span last year. As of August, residential building permits issued in Colorado for the year had increased  19.6 percent over the same span last year. Average annual wages per employee have increased 3.1 percent over the past year to $55.699.