Real Estate, Trucking Among Largest Self-Employment Fields

By: J. N. Sbranti
The Modesto Bee


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August 5, 2008

Working for themselves, by themselves.

That's what more and more Stanislaus County residents are doing, according to recently released U.S. Census Bureau data.

An estimated 24,188 Stanislaus residents had their own business but no employees in 2006. They reported receipts of nearly $1.25 billion that year, an average of $51,472 each.

They included hairstylists and day care providers, landscapers and bookkeepers, truckers and home health care workers, plus many others working full time and part time on their own.

The Census Bureau made its calculations based on federal tax returns, so those who dodged taxes weren't counted. But about 6.6 percent of Stanislaus' adults reported working for themselves.

That percentage is rising. Back in 2002, 6 percent of Stanislaus' adults were solo workers.

Among the self-employment fields that grew fastest were real estate and trucking, both of which expanded about 50 percent in five years.

Most real estate agents work as independent contractors rather than as a real estate company's employee. In 2002, there were 1,952 independent real estate agents in Stanislaus, but that grew to 3,180 in 2006.

The number of general freight truckers increased from 1,066 in 2002 to 1,551 in 2006. The latest data show truckers receiving an average of $92,578 for their services.

"But those are receipts. They're not net profits," cautioned Bill Bassitt, chief executive officer for the Stanislaus Economic Development and Workforce Alliance.

Bassitt said that after independent workers pay all their operating expenses, such as fuel costs for truckers, often they're not making enough to support a family.

It takes a lot of self-sacrifice, long hours and juggling of many responsibilities for business people to succeed, Bassitt said.

"Not everyone is cut out to be their own boss," Bassitt warned. He advises those who are considering going out on their own to first seek the free advice and counseling offered at the alliance's Small Business Development Center, which can be reached at www.alliancesbdc.com or by calling 567-4910.

"We offer a very good process with steps to go through to help people before they start their own business," Bassitt explained.

While some folks choose to go it on their own because they're "fed up with the corporate life," Bassitt said, "a fairly high percentage of people are thrust into it because of other circumstances."

Tough economic times and high commute costs, for instance, might convince some to earn money on their own.

The good part of not having a boss or employees, Bassitt said, is that "you make the rules and you get the benefit of your own hard work."

While the percentage of Stanislaus' workers who are going it on their own is increasing, it still lags behind state and national averages.

Here are some of the Census Bureau's statistics for 2006:

  • Nationwide -- More than 20.7 million people owned their own business but had no employees. That was 9.2 percent of all adults. Their total revenue was more than $970 billion, an average of $46,724 each.

  • California -- Nearly 2.65 million state residents worked on their own, which was 9.8 percent of adults. Their revenue was nearly $144.4 billion, an average of $54,570 each.

  • San Joaquin County -- There were 32,089 residents working on their own, which was 6.7 percent of adults. Their revenue was nearly $1.69 billion, an average of $52,628 each.

  • Merced County -- There were 9,865 residents working on their own, which was 5.9 percent of adults. Their revenue was more than $490.2 million, an average of $49,693.

    The Census Bureau's entire report can be accessed at www.census.gov/epcd/nonemployer/index.html.

    http://www.modbee.com/business/story/381608.html

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