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onstruction and real estate businesses in rural America generated the highest revenues among nonemployer businesses, totaling over $69 billion in 2023. This is according to an analysis of Economic Census data. Nonemployer businesses, which account for approximately 80% of small businesses, are often sole proprietorships or individuals operating as independent contractors.
The number of nonemployer businesses has steadily increased since 1997, from around 16 million establishments to over 30 million in 2023. These businesses span various industries, including construction, cosmetology, and food services. However, most nonemployer business revenues are modest, with about three-quarters earning less than $100,000 annually.
Construction is an exception, with nonemployer construction businesses generating 21% of rural America's total revenue in 2023, or around $40.4 billion. Many individuals operating nonemployer construction businesses work as independent contractors for other firms.
A map illustrates the gross product of nonemployer construction and real estate establishments in rural counties. The data reveals hotspots in areas adjacent to fast-growing metropolitan regions, such as Dallas-Fort Worth, which added approximately 178,000 new residents between 2023 and 2024.
In nearby Henderson County, Texas, nonemployer construction firms generated $166 million in revenue, while Van Zandt County saw nearly $120.5 million. Communities outside North Carolina's research triangle also experienced high grossing nonemployer construction industries, with Harnett County generating $133 million in 2023.
The demand for housing and infrastructure development tends to spill into surrounding rural areas as nearby population centers grow. However, not all top-grossing construction firms are located near metropolitan regions; some operate in areas known for recreation and outdoor amenities, where wealthy retirees and second-home owners drive development.
Grafton County, New Hampshire, a rural community among the White Mountains, brought in over $114 million in nonemployer construction revenue. There is an overlap between counties with high-grossing construction industries and those with high-grossing real estate industries, particularly in areas like Gallatin County, Montana, which borders Yellowstone National Park.
Gallatin County generated the most nonemployer real estate revenue in rural America, grossing over $312 million in 2023. It was also the second-highest grossing county for nonemployer construction, with over $277.9 million in revenue that year. Nearby Flathead County saw significant revenue from both construction and real estate industries, with over $250 million in construction revenue and $222.3 million in real estate revenue.
