1. The Nonemployer in Middle Georgia Seedbed of Prosperity 2008 Data Released June 24, 2010

2. What are Nonemployer businesses? have no paid employees, have annual business receipts of $1,000 or more ($1 or more in the construction industries) and are subject to federal income taxes.

3. How Important are they to our economy? Are a majority of all U.S. businesses yet less than 4 percent of all receipts. Many are self-employed whose businesses may or may not be their primary source of income Consist of 18.8 million sole proprietorships, 1.5 million corporations and 1.1 million partnerships

4. Some Nonemployers Electricians, Plumbers & Carpenters Real Estate Agents & Lessors Auto Mechanics & Body Repair Hair, Nail & Skin Care Clothing Stores Grocery Stores Truck Drivers Accounting & Bookkeeping Physicians Janitorial & Landscaping Investigation & Security Home Health Care Auto Dealers Child Day Care

5. Nonemployer Start-ups Tend to increase as unemployment rises & population increases Have younger owners than employer start-ups 3% become employers within 3 years of start-up 58% are home-based & are less likely to rely on financing than employer start-ups Partnerships & corporations have higher revenues & survival rates, & are more likely to become employers

6. National Results for 2008 All but two states — Texas and Louisiana, plus the District of Columbia — saw a decline in the number of nonemployer businesses between 2007 and 2008. The nation had 21.4 million nonemployer firms in 2008, a decrease of 350,000 from 2007 (1.6 percent), the U.S. Census Bureau announced today - June 24, 2010.

7. Middle Ga, the State & Nation in 2008 4.2%3.7% Middle Ga’s share of Ga’s establishments is about 4.2% & 3.7% of its receipts $35,921 $40,510 45,093 Receipts per establishment average $35,921 in Middle Ga, versus $40,510 in Ga & $45,093 in the U.S. Growth - Since 2003, Mid Ga has a higher establishment growth rate & a lower receipt rate than the State & Nation

11. Latest Developments Mid Ga Nonemployers are optimists – receipts were going sour, but they perservered thru 2007 After major declines in receipts in 2007 & 2008, many gave up their dream Major declines occurred in Construction & Real Estate - in total & on a Receipts per Establishment basis Healthcare advanced in all respects, but receipts were best for Truck Drivers who stuck it out

13. Middle Ga Nonemployer Industry Concentration Nonemployers are clustered in 4 industries – – Leaders in total receipts are Construction 22% of receipts Real Estate 14% of receipts – Leaders in establishments are Admin & Support 12% of establishments mostly janitorial & landscaping Other Services 21% of establishments primarily personal services such as beauty & barber shops Receipts per establishment are highest in Transportation & lowest in Admin & Support

14. Middle Ga Region: Nonemployers in 2008 Number of Establish ments Receipts ($1,000) Receipts Per Estab % of Mid Ga Estab % of Mid Ga Receipts Total for all sectors 30,849$1,108,113 $35,921100.0% Construction4,368 $248,564 $56,90614.2%22.4% Real estate and rental and leasing2,275 $151,305 $6,5087.4%13.7% Other services (exc public admin) 6,469$133,377 $20,61821.0%12.0% Retail trade2,541$99,964 $39,3408.2%9.0% Transportation and warehousing1,387$99,065 $71,4244.5%8.9% Professional, scientific, and technical svs2,763$82,984 $30,0349.0%7.5% Health care and social assistance 3,059$82,800 $27,0689.9%7.5% Admin & Support & Waste Mang & Remed 3,628$55,456 $15,28611.8%5.0% All Other Industries4,359$154,598 $35,46614.1%14.0%

15. Middle Ga Region: Nonemployers by Industry 2007-2008 Change Establishments Receipts in $000's Receipts per Establishment Amt%Amt%Amt% Total for all sectors (137)-0.4%($86,543)-7.2%($2,634)-6.8% Construction (358)-7.6%($60,328)-19.5%($8,454)-12.9% Real estate and rental and leasing (194)-7.9%($25,331)-14.3%($5,034)-7.0% Other services (exc public admin) 4497.5%$1,7831.4%($1,241)-5.7% Retail trade (164)-6.1%($841)-0.8%$2,0745.6% Transportation and warehousing (119)-7.9%$4,8635.2%$8,87314.2% Prof, scientific, and tech svs (11)-0.4%($3,860)-4.4%($1,272)-4.1% Health care and social assistance 2268.0%$10,00913.8%$1,3745.3% Admin & Support & Waste Mgt 872.5%($3,868)-6.5%($1,467)-8.8% All Other Industries (53)-1.2%($8,970)-5.5%($1,607)-4.3%

16. Counties in 2007-2008 County Shares of $1 billion in receipts - mostly generated in Bibb & Houston with around 59% of establishments & receipts, but with 60% of the 2007-08 $ losses % Gains - Twiggs fared the best while Wilkinson was hit hardest Receipts per Establishment - Peach & Putnam are highest, with Twiggs & Putnam gaining the most

17. Nonemployers by County: 2008 Number of establish mentsReceipts($1,000) Receipts/ Estabs % of Mid Ga Estabs Estabs % of Mid Ga Receipts Mid Ga Receipts Baldwin 2,861 2,861$107,302$37,5059.3%9.7% Bibb 11,031 11,031$383,002$34,721 35.8% 35.8%34.6% Crawford 767 767$23,439$30,5592.5%2.1% Houston 7,348 7,348$258,355$35,16023.8%23.3% Jones 1,934 1,934$72,634$37,5566.3%6.6% Monroe 1,937 1,937$72,212$37,2806.3%6.5% Peach 1,515 1,515$63,636$42,0044.9%5.7% Pulaski 581 581$19,303$33,2241.9%1.7% Putnam 1,796 1,796$81,604$45,4375.8%7.4% Twiggs 512 512$13,191$25,7641.7%1.2% Wilkinson 567 567$13,435$23,6951.8%1.2% Mid Ga Region 30,849$1,108,113$35,921100.0%

19. Middle Ga Region: Nonemployers by County 2007-2008 Change Establishments Receipts in $000's Receipts per Establishment Amt%Amt%Amt% Baldwin-39-1.3% $ (1,378)-1.3% $ 290.1% Bibb2132.0% $ (23,959)-5.9% $ (2,898)-7.7% Crawford-15-1.9% $ (2,617)-10.0% $ (2,761)-8.3% Houston-46-0.6% $ (28,555)-10.0% $ (3,643)-9.4% Jones-96-4.7% $ (9,157)-11.2% $ (2,735)-6.8% Monroe-74-3.7% $ (8,072)-10.1% $ (2,642)-6.6% Peach-23-1.5% $ (7,409)-10.4% $ (4,189)-9.1% Pulaski30.5% $ (1,814)-8.6% $ (3,311)-9.1% Putnam-23-1.3% $ (812)-1.0% $ 1290.3% Twiggs-9-1.7% $ 4733.7% $ 1,3535.5% Wilkinson-28-4.7% $ (3,243)-19.4% $ (4,335)-15.5% Mid Ga Region-137-0.4% $ (86,543)-7.2% $ (2,634)-6.8%

20. Middle Georgia Businesses: 2008 Geographic Area Name Non employersEmployersTotal % Non employers Crawford767 111 87887.4% Twiggs512 82 59486.2% Jones1,934 364 2,29884.2% Putnam1,796 465 2,26179.4% Monroe1,937 510 2,44779.2% Wilkinson567 162 72977.8% Baldwin2,861 844 3,70577.2% Houston7,348 2,327 9,67575.9% Peach1,515 494 2,00975.4% Pulaski581 202 78374.2% Bibb11,031 4,380 15,41171.6% Mid Ga Region 30,849 30,849 9,941 9,941 40,790 40,79075.6%

21. 2009 & Beyond We don’t have current data on what happened to nonemployers in 2009 & so far in 2010 This data provides hints as to what it will tell us about the recession’s effects Losses are highly related to construction & real estate Gains are related to consumer spending - healthcare, retail & distribution