Fastest Growing Industries In The Country
Entrepreneurs looking to maximize the potential of a small-business loan should take heed of the latest data from Sageworks’ financial statement analysis of businesses. According to the financial information company, general freight trucking companies grew their sales by an average of 25 percent over the past 12 months, Forbes reported. This 25 percent growth rate is notably higher than the 8.5 percent average experienced by most small businesses. To reach these results, Sageworks’ methodology included collecting and aggregating financial data on companies with less than $5 million in annual revenue from accounting firms, banks and credit unions.
In addition to general freight trucking companies, computer systems design and related services have also maintained steady growth over the past year, with these companies reporting an almost 14 percent increase in sales over that same time period.
According to the source, Sageworks Analyst Chuck Nwokocha anticipates great potential in computer systems design.
“We wouldn’t be surprised to see computer systems design and related services show a steady trend of growth over the next few years,” Nwokocha said. “This industry is a harbinger of the paradigm shift in the overall economy.”
Despite not posting the overall highest growth rates over the past year, construction industries still dominated the results, as five out of the top 10 companies on the list are part of this industry. These include companies involved in site preparation, foundations and structure contractors, utility system construction, remodeling and mechanical equipment installation.
As the construction industry experiences a boost in overall sales it is also facing a shortage of workers. According to The Wall Street Journal, this lack of carpenters, electricians and general laborers is forcing owners to increase wages and boost recruitment techniques.
With the unemployment rate hovering around 5.5 percent, companies need to do more to attract the best workers, which ultimately means providing more in compensation. According to the source, hourly private-sector wages rose 2.3 percent year over year, marking the fastest rate of growth since the summer of 2013. However, this number is higher for commercial construction wages, which increased 3.3 percent.
This data indicates companies – especially in the construction industry – are racing to find and hire quality craft workers in the marketplace. The financial crisis of 2008 forced many people out of the labor pool and only now are these industries catching up to replace these individuals.