DSM Small Business Jobs Report: Big Impact from Small Business

Strong Job Creation from New Small Businesses

New small businesses remain a key engine for job creation across DSM. In 2023, these businesses generated 9,939 new jobs, continuing an upward trend following pandemic-era fluctuations.

While job creation has varied year to year, the long-term trajectory shows resilience and steady growth, reflecting a supportive environment for entrepreneurs and startups.

Growth in New Business Establishments

The region is also seeing sustained growth in new business formation. In 2023, DSM recorded 1,756 new small business establishments, the highest level in the past decade.

This continued increase signals strong entrepreneurial confidence and a healthy pipeline of new ventures entering the market.

Small Business Employment Growth Outpaces the Nation

One of the findings in this year’s report is DSM’s overall employment growth compared to the U.S.

• DSM employment growth: 25.3%
• U.S. employment growth: 19.9%

This means the DSM region outpaced national employment growth by 5.4%, underscoring its competitive advantage as a place to do business and build a workforce.

Industries Leading Job Growth

Several industries are driving job growth across businesses of all sizes:

• Construction: 13.5%
• Accommodation & Food Services: 11.6%
• Professional, Scientific & Technical Services: 10.7%
• Health Care & Social Services: 10.0%
• Retail Trade: 9.6%
• Waste Management & Remediation: 7.5%

Expanding Small Business Base

The total number of small businesses in DSM continues to trend upward, reaching 22,275 in 2023, up from under 20,000 in 2015.

This steady increase highlights long-term confidence in the region’s business climate and the growing population across the 13-county region.

Rise in Self-Employment

Entrepreneurship is also growing at the individual level. The number of self-employed individuals and sole proprietors climbed to 66,208 in 2023.

This trend points to a more flexible and diverse workforce, with more individuals pursuing independent business opportunities within the creative and gig economy.

A Region Positioned for Continued Growth

Greater Des Moines may fly under the national radar, but it’s quietly becoming a powerhouse for small business — driving job growth, launching new ventures and outpacing the national average and its own track record.

1. If you are a local organization, economic developer, funder or policymaker, continue supporting small businesses and entrepreneurs. Consider how entrepreneurs can solve issues facing your industry or community — and make sure they have a seat at the table.
2. If you are a customer, continue to show up, support and buy local. Strong communities don’t happen overnight — they’re built by people willing to bet on themselves. Let’s keep betting on entrepreneurs.

For more resources on small business in DSM, visit DSMpartnership.com/smallbusiness, and subscribe to the weekly small business newsletter.

A note about the data: The 2025 published DSM Small Business Jobs Report is powered by The Partnership’s research team. Data usually lags and the most recent year’s report shows 2023 data using the U.S. Census and Bureau of Labor Statistics. The data represented in this report is for the Greater Des Moines Partnership’s 13-county region, which includes: Adair, Clarke, Dallas, Guthrie, Jasper, Madison, Mahaska, Marion, Marshall, Polk, Poweshiek, Tama and Warren.

Keep up with the momentum that's happening in and around Greater Des Moines (DSM) when you subscribe to one or all of the Greater Des Moines Partnership's newsletters — they're packed with the latest news, highlighting everything from upcoming events to development projects to policy updates. Join the mailing list to connect with The Partnership and help amplify stories from around the region.