Local startups project more jobs, nearly $1 billion in revenue

The results from the second annual Charlotte-area Entrepreneurial Growth Index came out Tuesday morning, and the numbers are encouraging, says Terry Cox, president and CEO of Business Innovation & Growth Council (BIG), which conducted the study. 

The index is a measure of the health of the region's entrepreneurial companies, and this year's findings are based on the responses of 120 local startup companies. 

Here are some key findings: 

• Projected revenue for 2013 is $960 million, an 18 percent increase over 2012 revenue of $817 million  and a three-year average growth rate of 37 percent. 

• a 24 percent three-year average growth rate in employment, including full-time, part-time and contract positions, with a projected 928 employees. Forty-two percent of those are contractors. 

• The average headcount per company is now 49 employees, with an average weighted salary of $54,000. In 2012, the average headcount was 30 employees per company with an average salary of $55,000. 

• Funding sources for businesses surveyed:
• 56 percent: self-funded. 
• 19 percent: angel investments. 
• 13 percent: bank financing. 
• 5 percent: private equity.  
• 2 percent: grants. 

• Twenty percent of the companies were founded in the past two years. Fifty-two percent are less than 5 years old. 

• Of the respondents, 84 percent are located in Charlotte, while 16 percent are in the outlying cities and towns. 

• The breakdown by sector: 
• 47 percent: technology.
• 11 percent: business services.
• 8 percent: technology-based education.
• 7 percent: health care.
• 5 percent: retail.
• 5 percent: marketing.
• 4 percent: transportation and distribution.
• 14 percent: other.