California Incorporations Up 6.2% in ’97

Californians started more than 50,000 new businesses in 1997, the most for any year so far in this decade, according to a report by an Orange County research firm. The study by CDB Infotek is the latest to indicate that the state is recovering from the 1990-1993 recession. CDB Infotek counted incorporations registered with the California secretary of state through the second week in December, excluding those of limited partnerships and out-of-state companies. Statisticians projecting a 50-week trend estimated 52,150 incorporations for 1997, up 6.2% from 49,109 in 1996. The state’s recent low was 1991, with 41,020 business starts. Big gainers were the Central Valley, where incorporations increased 15.8%; the San Francisco Bay Area, up 8.5%; and Southern California, up 5%. By region, year-end projections were 34,533 new firms in Southern California, 11,784 in the Bay Area and 3,912 in the Central Valley.