Updated October 15, 2026. Data: U.S. Census Bureau, through September 2026. Next update: after Census posts the October numbers in mid-November.
Kentucky logged 61,730 new business applications from January through September 2026, up 34% from the same months of 2025 and 140% above 2019. That’s the most for those nine months since Census records begin in 2005. Nationally, applications rose 15%.
A business application here means someone asked the IRS for an employer ID number (EIN) for a new business with a Kentucky address. Not every application turns into an operating business. Some are side projects, and some never open. But the count is the fastest public signal of how many people are starting something, and Census publishes it every month.
The trend, month by month
Every month of 2026 so far has beaten the same month of 2025, and most months are more than double their 2019 level. About 23% of this year’s applications were what Census calls high-propensity: ones that show signs of becoming a business with employees, such as planned payroll or a corporate filing. Those were up 16% from last year. So the growth is strongest among smaller, likely one-person ventures, though the employer-type filings are growing too.
| Month | 2019 | 2025 | 2026 | 2026 vs 2025 |
|---|---|---|---|---|
| Jan | 3,561 | 4,781 | 7,033 | +47% |
| Feb | 2,962 | 4,190 | 5,954 | +42% |
| Mar | 3,135 | 4,931 | 6,216 | +26% |
| Apr | 2,821 | 6,239 | 7,700 | +23% |
| May | 3,034 | 4,610 | 6,578 | +43% |
| Jun | 2,482 | 4,813 | 6,695 | +39% |
| Jul | 2,168 | 6,339 | 7,976 | +26% |
| Aug | 3,038 | 4,824 | 6,217 | +29% |
| Sep | 2,503 | 5,353 | 7,361 | +38% |
| Jan–Sep | 25,704 | 46,080 | 61,730 | +34% |
Which industries are opening new businesses
Census doesn’t break the monthly application counts out by industry for each state. A second Census data set does count new employer locations, meaning a business site with at least one paid employee opening for the first time, by industry. The latest year is 2023, when Kentucky saw 8,084 open, 18% more than in 2019. These are the industries with the most openings:
| Industry | 2019 | 2023 | Change |
|---|---|---|---|
| Retail stores | 932 | 1,092 | +17% |
| Health care and social assistance | 928 | 1,090 | +17% |
| Construction | 717 | 913 | +27% |
| Restaurants, bars and hotels | 644 | 798 | +24% |
| Professional services (legal, accounting, design, consulting) | 640 | 735 | +15% |
| Repair, personal care and other services | 593 | 731 | +23% |
| Office support, cleaning and landscaping services | 436 | 478 | +10% |
| Real estate and rental | 362 | 468 | +29% |
| All industries | 6,851 | 8,084 | +18% |
New employer locations only. Most new applications are for businesses with no employees, so this table shows a different, smaller slice than the monthly counts above.
What forming an LLC costs in Kentucky
Many new owners set up a limited liability company (LLC) to keep business debts separate from personal savings. Filing a Kentucky LLC costs $40. Expect a $15 annual report each year after that, and many small LLCs also owe a separate state entity tax, often $175 at the minimum. For the full breakdown and filing steps, see how much a Kentucky LLC costs.
| State fee | Amount |
|---|---|
| Articles of Organization (Secretary of State) | $40 |
| Annual report, due January 1 to June 30 starting the year after you form | $15 |
| Limited Liability Entity Tax (Department of Revenue), common minimum for small LLCs | Often $175 |
| Recording your filed Articles with the county clerk | Varies by county |
State fees are only part of the startup bill. If you need money for equipment, a lease or your first hires, compare your options in our guide to Kentucky business loans.
Download the data
Download the CSV with the monthly counts for 2019, 2025 and 2026 and the new-employer-location counts by industry. Free to use with credit to StartBusinessByState.
Source: StartBusinessByState analysis of U.S. Census Bureau data, https://startbusinessbystate.com/kentucky-new-business-applications/
How we counted
- Applications: the business applications series from the Census Bureau’s Business Formation Statistics, monthly, not seasonally adjusted, Kentucky only. We added up January through September for each year so the comparison is like for like. Data were downloaded October 15, 2026.
- What counts: EIN applications for new businesses. Census leaves out tax liens, estates, trusts, some financial filings and a few other types. One person can file more than one application.
- High-propensity applications: the Census subset with features linked to later hiring, such as planned wages or a corporate filing.
- Industries: establishment openings from Census’s Business Dynamics Statistics, 2019 and 2023 (latest available). Industry names are shortened.
- LLC fees: taken from our Kentucky LLC guide, which cites the state’s own fee schedule. Fees can change; check with the state before you file.
FAQ
How many businesses started in Kentucky in 2026?
Census counted 61,730 new business applications in Kentucky from January through September 2026, up 34% from the same months of 2025. Not every application becomes an operating business.
How much does it cost to start an LLC in Kentucky?
Filing a Kentucky LLC costs $40. Expect a $15 annual report each year after that, and many small LLCs also owe a separate state entity tax, often $175 at the minimum.
Where does this data come from?
The U.S. Census Bureau’s Business Formation Statistics, which count applications for employer ID numbers (EINs) each month, and its Business Dynamics Statistics for new employer locations by industry.
Last updated October 15, 2026 by StartBusinessByState.