Comparable baseline
North Dakota at a glance
| Population | 799,358 | July 1, 2025; +2.5% since 2020 |
|---|---|---|
| Business applications | 862 | July 2026, seasonally adjusted |
| Trailing-12-month applications | 9,691 | 1,212.3 per 100,000 residents |
| High-propensity applications | 269 | 31.2% of July applications |
| Projected employer formations | 69 | Census four-quarter projection for July's cohort |
| Small businesses | 78,219 | SBA 2025 profile; underlying employer and nonemployer data are from 2022 |
| Small-business employment | 197,212 | 57.6% of private employment in 2022 |
| Employer establishments | 25,402 | 2023 County Business Patterns |
Application rankings cover the 50 states and use unrounded figures. Applications are qualifying EIN filings, not confirmed business openings. Measurement years differ because federal datasets are released on different schedules.
The total is small; the application mix stands out
North Dakota recorded 862 seasonally adjusted business applications in July 2026. That was the second-smallest state total, ahead of only Vermont, and translated to 107.8 applications per 100,000 residents—42nd among the states.
The nature of those filings was more distinctive than their number. Of the July total, 269 applications met the Census Bureau’s high-propensity criteria, meaning they had characteristics associated with a greater likelihood of becoming payroll employers. The 31.2% share ranked fifth nationally.
Census projected 69 employer formations within four quarters from the July cohort, equal to 8.00 per 100 applications and the third-highest ratio among the states. Applications are qualifying EIN filings and the projection is not an observed opening or conversion rate, but both measures show an unusually employer-oriented mix for such a small pool.
Growth was positive, not exceptional
July applications rose 1.8% from June and 14.5% from July 2025. Across the 12 months ending July 2026, the state recorded 9,691 unadjusted applications, 13.3% more than in the preceding 12 months. That trailing-year increase ranked 36th.
The July series has moved unevenly: 694 applications in 2022, 779 in 2023, 632 in 2024, 753 in 2025, and 862 in 2026. The latest count was 24.2% above July 2022 and 58.5% above July 2019. North Dakota therefore has more filing activity than in those earlier months, but not one of the country’s fastest recent growth rates.
Small counts deserve attention when reading percentage changes. July’s increase of 109 applications from a year earlier produced a 14.5% growth rate; the same absolute change would barely move a larger state’s percentage.
Small businesses carry an unusually large share of employment
The SBA’s 2025 state profile reported 78,219 small businesses in North Dakota, using principally 2022 employer-firm and nonemployer components. That ranked 49th in total count, consistent with the state’s population of 799,358.
Their employment weight was much larger. Small businesses employed 197,212 people, or 57.6% of private-sector workers, the fifth-highest share among the states.
North Dakota also had a less nonemployer-heavy business mix than almost every state. Nonemployer establishments accounted for 75.6% of the published small-business total, ranking 49th on that share. Most small businesses still had no paid employees, but employer firms represented a comparatively large part of the state total.
These measures describe the existing business base, not the outcome of July’s applications. They nevertheless show that small employers play an unusually prominent role in North Dakota’s private economy.
Fargo is the largest node; energy is the sharpest specialization
In 2023 County Business Patterns, Cass County contained 113,306 covered private jobs, or 32.2% of North Dakota’s total. Burleigh County accounted for 47,601, or 13.5%, and Grand Forks County for 31,719, or 9.0%. The three counties together held 54.7% of statewide employment.
That makes Fargo/Cass the clear leading employer center, with Bismarck/Burleigh and Grand Forks as smaller nodes.
Mining, quarrying, and oil and gas extraction employed 17,181 people, or 4.88% of covered private employment. That share was 12.29 times the corresponding 50-state share, the sharpest sector specialization in North Dakota’s profile. Health care remained much larger by total employment, with 64,188 jobs or 18.2%.
The data establish an extractive-sector concentration, not a claim that energy activity caused application growth. County Business Patterns also excludes most crop and animal production, so it is incomplete as a description of the state’s agricultural economy.
Official resources for a North Dakota business
- Use the Secretary of State’s Register a Business guide for entity and trade-name registration, registered-agent requirements, and filing access.
- The state’s Start a Business page and FirstStop portal connect formation with cross-agency registration and license routes.
- Review the Office of State Tax Commissioner’s startup guidance for sales-tax permits, withholding, industry-specific taxes, North Dakota TAP, and local lodging or restaurant tax reminders.
- The North Dakota SBDC provides personalized business advising at no cost, along with training and statewide service-center access.
FirstStop simplifies navigation but does not replace agency, professional, city, or county requirements. Local tax, zoning, lodging, restaurant, and operating rules may still apply.
Source and calculation note
BizFacts used the Census Business Formation Statistics revision available September 3, 2026. July figures are seasonally adjusted; trailing-year totals sum unadjusted applications from August 2025 through July 2026 and compare them with the preceding 12 months. Rates use the July 1, 2025 population estimate. County and industry figures use 2023 County Business Patterns; small-business figures use the SBA 2025 profile’s principally 2022 components. Rankings compare the 50 states using unrounded values.