Business Incorporations Up 2% in 1997

The number of new U.S. business incorporations in 1997 rose to a record for the sixth consecutive year, a survey showed. Incorporations were up 2% last year to a record 798,917, according to a survey conducted by Dun & Bradstreet Corp. Last year’s increase was down from the 3% gain in 1996 to 786,482. Much of 1997’s gain was from companies in Montana, Wyoming, Arizona and Utah, which posted a 5% increase. “While filings of new incorporations are not necessarily an indicator of new business formation, they do reflect the plans of individuals to create new business ventures,� said Joseph W. Duncan, chief economic advisor at Dun & Bradstreet. “Therefore, the record-high number of incorporations combined with the slowing pace of filings is a measure of a healthy, cautious optimism among U.S. entrepreneurs.� Six of the nine regions surveyed reported increases in business incorporations last year: the Mountain, Pacific, South Atlantic, West South Central, West North Central and Middle Atlantic areas.