News Summary
Governor Gavin Newsom has proclaimed May 2025 as ‘Small Business Month’ in California, celebrating the vital contributions of the state’s small business sector. With over 4.2 million small businesses, California leads in business startups and provides nearly half of the private sector workforce. New initiatives aim to support these businesses and promote inclusivity within the innovation economy, recognizing their significant impact on the state’s economy and job market.
California has been declared as the inaugural state to celebrate the contributions of its small business sector, as Governor Gavin Newsom officially proclaimed May 2025 as “Small Business Month.” This month is dedicated to recognizing the critical role small businesses play in California’s economy and their contribution to job creation across the state.
California boasts more than 4.2 million small businesses, the highest number of any state in the United States. These small businesses represent over 99.9% of the total businesses within the state. In addition to their sheer number, they also provide employment for nearly half of California’s private sector workforce, further underscoring their significance in the state’s economy.
The state of California leads the nation in business startups, with an impressive measure of entrepreneurial activity that sets it apart from other regions. In 2024 alone, businesses in California attracted over 55% of the nation’s venture capital, marking it as a hub for innovation and business growth. Furthermore, California is noted for producing more patents per capita than any other state, as it continues to spearhead advancements in research and development.
California’s influence extends beyond technology, as it is also at the forefront of high-tech industries, agriculture, and manufacturing. The state’s manufacturing output has exceeded the national rate by 83% since the late 1990s, showcasing its robust industrial base. Manufacturing companies within California cover a range of sectors including aerospace, computers, electronics, and the production of zero-emission vehicles, which aligns with the state’s commitment to sustainability and innovation.
To further support the growth and sustainability of small businesses, California has established procurement spending goals through Assembly Bill 2019, which aims to allocate 25% of procurement spending to small businesses. This initiative is part of a more extensive framework designed to aid small businesses in starting, growing, and achieving resilience in an ever-changing economic landscape. The Small Business Technical Assistance Program specifically provides resources and guidance to nurture these businesses as they navigate challenges and opportunities.
Additionally, the Accelerate California Inclusive Innovation Hubs initiative is designed to promote diversification within the innovation economy, particularly in underserved communities, fostering an inclusive entrepreneurial environment. It aims to support emerging technology sectors, ensuring that all Californians can pursue their entrepreneurial aspirations and gain access to resources that were previously out of reach.
More than 60,000 small businesses in California engage in exporting goods globally, which contributes to the state’s economy and showcases California’s extensive reach in international markets. The proclamation emphasizes inclusivity, urging that every Californian should have the opportunity to pursue their entrepreneurial dreams. The government is also actively taking steps to combat unlawful tariffs that can negatively impact local businesses and hinder their growth.
Governor Gavin Newsom’s declaration recognizes the essential contributions of small businesses to the state’s economy and outlines ongoing efforts to promote their success and sustainability. This initiative not only celebrates the achievements of existing small businesses but also aims to inspire future entrepreneurs and contribute to a resilient economic foundation for California.
The proclamation was officially signed on May 15, 2025, with Shirley N. Weber, Ph.D., the Secretary of State, attesting to the declaration. This event marks a significant moment in California’s recognition of small businesses and their indispensable role in the state’s identity and economy.
Deeper Dive: News & Info About This Topic
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Author: STAFF HERE CORONADO
The Coronado Staff Writer represents the experienced team at HERECoronado.com, your go-to source for actionable local news and information in Coronado, San Diego County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Coronado Island Film Festival, productions at Lamb’s Players Theatre, community workshops at John D. Spreckels Center, and iconic celebrations at Hotel del Coronado. Our coverage extends to key organizations like the Coronado Chamber of Commerce and Visit Coronado, plus leading businesses in hospitality, dining, and tourism that drive the local economy. As part of the broader HERE network, including HERESanDiego.com, HEREHuntingtonBeach.com, HERELongBeach.com, and HERELosAngeles.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
