Which Businesses Are Blooming in America?

Using Data Science to Discover Top Trends in 2025 Q1 U.S. Business Applications

Over the past year, I’ve been deeply involved in the business-building process, not just through my own startup, but also in my role as a banking professional and operations manager. I help clients open business accounts, walk them through LLC paperwork, review operating agreements, start their website and handle formation documents to get their businesses up and running the right way.

So naturally, I wanted to dig deeper into what kinds of businesses people are starting, and how those trends align with what I’m seeing on the ground. It’s been exciting to compare the national data to the stories of the everyday dreamers and doers I get to support.

The Purposed Eagle Network and their platform, Vizal  a space specifically designed to support startups and aspiring entrepreneurs. Is a platform that doesn’t just talk about launching ideas but actively helps people turn them into something substantial.

I’ve seen everyday folks transform their passions into income: A home cook writing and selling their first cookbook. A master chemist bottling up their signature scents and launching a perfume line. Creatives turning their knowledge into paid courses and products.

It’s so exciting what people can achieve when they’re given the right tools and encouragement. Vizal, has been the launchpad for many of those stories. This project was a way for me to zoom out and see how these small beginnings fit into the bigger national picture of entrepreneurship.

What I Wanted to Find Out

I dove into a public dataset called the Business Formation Statistics from the U.S. Census Bureau. It tracks monthly business applications in the U.S. and spoiler alert: the numbers tell an interesting story.

Here’s what I set out to answer:

• What sector is gaining the most traction?

• Are the businesses my clients are starting aligned with broader national trends?

• How might these trends evolve in the near future?

When I explored the Business Formation Statistics dataset for the first quarter of 2025, one sector stood out: Retail Trade. Even in just the first three months of the year, Retail had the highest number of new business applications. That’s a pretty strong indicator that people are still jumping into product-based businesses, whether that's through e-commerce, brick-and-mortar, or hybrid setups.

And what’s even cooler is that this lines up perfectly with what I’m seeing through the work at Vizal. A lot of the clients are launching businesses around selling handmade goods to digital products and even physical storefronts.

The model gave me a pretty solid estimate, and even though it's basic, it’s still helpful for planning.

• MSE (mean squared error): 6402148.316243282

• RMSE (root mean squared error): 2530.246690787932

Basically, this means that the model’s not perfect, it's predictions are off about 2,530 applications, it captures more of a general prediction, but it is not very precise.

If the first quarter is any indication, Retail Trade might continue to grow as people explore entrepreneurship and new income streams, and with tools, resources, and platforms like Vizal, they're making it easier than ever to go from idea to launch, which means these numbers might only rise as more people take the leap. So while we might only be seeing a snapshot of the year, it’s a promising start that reflects the upcoming momentum.

Let's Find Out

I used the Model to test this, It turns out that Retail Trade is still leading, it has the highest number of applications, around 86 to 87,000 predicted for April.

Final Thoughts

While the model fits a more general trend, it could do with some improvement. Retail continues to be a strong entry point for new entrepreneurs and it’s not just a national trend. From the data to the day-to-day work at Vizal, one thing is clear: people are ready to build. When we understand these patterns, we can better support clients and aspiring entrepreneurs can even use this information to formulate their business ideas, whether they’re launching a side hustle, formalizing their LLC, or scaling an existing idea.

Curious About Starting a Business?

Vizal is a business consulting and resource platform dedicated to guiding individuals in starting their own businesses and helping Startups become successful ventures. If you’re thinking about starting something, whether it’s a store, a service, or a side hustle, they'd love to help, Visit https://www.thepurposedeagle.com/visionmadevital to learn more.