1. Economic Data from the U.S. Census Bureau A Business Plan Case Study and Access November 13, 2014 Presented by: Andy Hait U.S. Census Bureau

2. Outline  Using Census Bureau Economic Programs Data To Better Understand  The target market of a proposed business  The local competition  The national industry 2

3. Sample Scenario: An entrepreneur is interested in opening a job training facility in the Albuquerque metro area. She wants to know what information is available from the Census Bureau that may help her locate the business and better understand this industry. 3

4. Measuring the Need… The demographic data available from the ACS helps make the case for this type of business… 4 EMPLOYMENT STATUS Bernalillo County, New Mexico Cibola County, New Mexico Rio Arriba County, New Mexico Sandoval County, New Mexico San Miguel County, New Mexico Santa Fe County, New Mexico Valencia County, New Mexico Population 16 years and over532,09321,24131,626104,61923,638120,19359,294 In labor force339,92711,25218,28263,29810,85177,35932,335 Percent In labor force63.95357.860.545.964.454.5 Civilian labor force337,72711,25218,27662,96910,85177,23032,215 Percent63.55357.860.245.964.354.3 Employed307,2699,47515,81456,74510,15069,55528,115 Percent57.744.65054.242.957.947.4 Unemployed30,4581,7772,4626,2247017,6754,100 Percent5.78.47.85.93.06.46.9 Not in labor force192,1669,98913,34441,32112,78742,83426,959 Percent36.14742.239.554.135.645.5 Civilian labor force337,72711,25218,27662,96910,85177,23032,215 Percent Unemployed9.015.813.59.96.59.912.7

5. Getting Started What NAICS code covers this industry? What Census programs provide data for this industry? 5

6. What Programs Cover this Industry? 6

7. How Can I Get to the Data? 7

8. Tell Me About This Industry in the Albuquerque Metro Area… The County Business Patterns (CBP) program provides data that she can use to better understand this industry, her competition, and her potential market. 8

9. Employer vocational rehabilitation services businesses in Albuquerque CSA Counties: 2012 Geographic area name Number of establishments Paid employees for pay period including March 12 (number) First-quarter payroll ($1,000) Annual payroll ($1,000) Bernalillo County, New Mexico8100 - 249DD Los Alamos County, New Mexico10 - 19DD Sandoval County, New Mexico1100 - 249DD Santa Fe County, New Mexico220 - 99DD Torrance County, New Mexico10 - 19DD Cibola County, New Mexico0000 Rio Arriba County, New Mexico0000 San Miguel County, New Mexico0000 Valencia County, New Mexico0000

10. How Is this Industry Performing Nationally? The 2012 Economic Census (EC) currently provides National-level data that she can use to measure changes in this industry and to better understand the composition of businesses in it. (Local area data are coming soon…) 10

11. U.S. Vocational Rehabilitation Services (NAICS 62431) by Tax Status: 2012 and 2007 Meaning of tax status codeYear Number of establishm ents Chg 2007 - 2012 Revenue ($1,000) Chg 2007 - 2012 Annual payroll ($1,000) Chg 2007 - 2012 Number of paid employees for pay period including March 12 Chg 2007 - 2012 All establishments 20127,834 2.7% 12,483,982 8.2% 5,684,690 10.1% 311,798 2.7% 20077,63111,535,5905,164,772303,713 Establishments subject to federal income tax 20122,041 14.9% 2,148,873 26.4% 969,893 27.9% 34,160 14.7% 20071,7771,699,564758,51129,778 Establishments exempt from federal income tax 20125,793 -1.0% 10,335,109 5.1% 4,714,797 7.0% 277,638 1.4% 20075,8549,836,0264,406,261273,935 Meaning of tax status codeYear Revenue per establishment ($1,000) Revenue per employee ($1) Revenue per $ of payroll ($) Annual payroll per employee ($) All establishments 2012 1,59440,0392.2018,232 2007 1,51237,9822.2317,005 Establishments subject to federal income tax 2012 1,05362,9062.2228,393 2007 95657,0742.2425,472 Establishments exempt from federal income tax 2012 1,78437,2252.1916,982 2007 1,68035,9062.2316,085

12. I’ve Heard about Nonemployers… What are They? Nonemployers are businesses with no paid employees. Primarily independent contractors File IRS Form 1040 Schedule C Significant in number Significant in revenue in some industries 12

13. More Data… 13

14. Nonemployer vocational rehabilitation services businesses in Albuquerque CSA Counties: 2012 Geographic area name Number of nonemployer establishments Receipts ($1,000) Receipts per establishment ($) Bernalillo County, New Mexico3778021,081 Cibola County, New MexicoDD Los Alamos County, New MexicoDD Sandoval County, New Mexico1130828,000 San Miguel County, New MexicoDD Santa Fe County, New Mexico1323918,385 Torrance County, New MexicoDD Valencia County, New Mexico318461,333

15. What Services do Businesses in this Industry Provide? Data on products and services sold by businesses are available in the Product Lines data from Economic Census. Can be used in a business plan to identify the primary and secondary sources of sales of the business 15

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17. How Big Should A Business Be? 17 The Economic Census includes data broken out by the sales and employment size of the business Can be used in a business plan to understand the size of a “typical” business in an industry Can also be used to forecast the future growth of a business to it’s most efficient size

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20. Anything Else? 20 The Economic Census also publishes detailed data that is tailored to specific industries, including information on expenses and revenue. Can be used to further understand the composition of an industry

21. 21 Selected Statistics for Vocational Rehabilitation Services Exempt from Federal Income Tax: 2007 Number of establishments 5,854 Receipts / Revenue ($1,000) 9,836,026 Expenses ($1,000) 9,576,565 Grants and transferred contributions ($1,000) 279,422 Net expenses ($1,000) 9,297,143 Key Ratios: Receipts / Revenue per Establishment ($1,000) 1,680 Expenses per Establishment ($1,000) 1,636 Expenses - Percent of Receipts / Revenue 97.4% Grants and transferred contributions - Percent of Receipts / Revenue 2.8%

22. 22 U.S. Vocational Rehabilitation Services (NAICS 62431) by Tax Status and Payment Source: 2007 Meaning of tax status code Meaning of Type of social assistance code Year Number of establishm ents Receipts/R evenue ($1,000) Lines receipts ($1,000) Distribution of lines receipts All establishments All types of social assistance20077631115355906543394100.0 Governent payers2007XXX82.4 Private payers2007XXX17.6 Establishments subject to federal income tax All types of social assistance2007177716995641670572100.0 Governent payers2007XXX88.9 Private payers2007XXX11.1 Establishments exempt from federal income tax All types of social assistance2007585498360264872822100.0 Governent payers2007XXX80.7 Private payers2007XXX19.3

23. Visualizations? 23 The Industry Statistics Portal also provides access to visualization of selected economic data. Can be used in business plans and presentations

25. Summary Economic Programs data from the Census Bureau can be an invaluable source of information in a business plan to measure:  The target market of a business  The overall health and composition of the industry and competing businesses  The impact of complementary businesses on the location of the business  The roll that business suppliers can have on the location of a business 25

26. Questions 26

27. Any other Questions: andrew.w.hait@census.gov (301)763-6747 Thank You! 27