David DesRoches

An Overview of the Kauffman Firm Survey: Results from the 2004-2007 Data

The Kauffman Firm Survey (KFS) dataset provides researchers with a unique opportunity to study a panel of new businesses from startup to sustainability, with longitudinal data centering on topics such as how businesses are financed; the products, services, and innovations these businesses possess and develop in their early years of existence; and the characteristics of those who own and operate them. The current data provide an understanding of how businesses are organized and operate in their first four years of existence (2004 through 2007) and provide some indicators of survival and growth. Other measures describe the characteristics of the panel, such as the extent to which these businesses are involved in innovative activities. A series of eleven tables give a broad overview of the business and owner characteristics and firm survival over the period, as well as some new information available in the third follow-up survey. Highlights include: External debt markets remain critically important for most new firms; Only about 12 percent of firms submitted new external credit applications for debt financing in 2007; Less than 10 percent of firms owned by African Americans applied for new credit in 2007, compared with nearly 13 percent of firms owned by non-Hispanic whites; About 90 percent of firms that began operations in 2004 survived through 2005, while about 80 percent survived through 2006 and 73.4 percent through 2007. Most of the remaining firms closed either permanently or temporarily over the period, while a small number, 3.5 percent, either merged with or were sold to another business; Surviving firms with employees, which are now three years old, increased average employment from 4.6 employees in 2004 to 6.7 employees in 2007; By 2007, about 40 percent of firms had revenues greater than

Using a Multi-Mode Design on a Panel Study of New Businesses (Presentation)

100,000, compared with just 17 percent in 2004; About 60 percent of surviving firms posted profits in 2007, compared with about 40 percent posting losses; Young firms are serving local and international markets; More than a quarter of firms sold at least some of their goods or services on the Internet. Nearly a quarter of those firms had Internet sales that were more than half of their total sales, while about a third of them said Internet sales were less than 5 percent of their total sales; About 60 percent of firms felt that they had a comparative advantage in the products or services that they offered.

Kauffman Firm Survey (KFS): Third Follow-Up Annotated Questionnaire

Objective: Review study level of effort (LOE) trends using Kauffman Firm Survey (KFS) paradata.Definitions: LOE = number of computer-assisted telephone interview (CATI) attempts.Speed of response = percentage completing within one month of invitation.Firm size = based on number of employees (non-employers, 1-3 employees, 4-9 employees, 10 employees).

Exploring Mode Effects in a Panel Survey of New Businesses

The Kauffman Firm Survey (KFS) is a panel study of new businesses founded in 2004 and tracked over their early years of operation. The survey focuses on the nature of new business formation activity; characteristics of the strategy, offerings, and employment patterns of new businesses; the nature of the financial and organizational arrangements of these businesses; and the characteristics of their founders. The third follow-up survey covers calendar year 2007.

Understanding Web Completion in a Survey of New Businesses (Presentation)

A better understanding of businesses and respondents that choose different modes can guide future survey efforts.

Minimizing Non-Response in a Survey of New Businesses (Presentation)

Surveys of new establishments continue to encounter increased levels of both non-response and costs. Factors contributing to declining participation include the prevalence of sales solicitations new businesses receive, the lack of time available to business principals to complete surveys, and gatekeepers preventing direct access to business principals. The Kauffman Firm Survey, and others, have used multi-mode data collection methods including a self-administered web component to reduce time and cost, as well as to maximize respondent convenience. Understanding how establishments differ by mode of completion will inform future establishment web survey development. This paper will compare differences in industry, size, and complexity among businesses completing the web survey before and after CATI prompting, and those completing a CATI interview.

The Kauffman Firm Survey: Results from the Baseline and First Follow-Up Surveys

Research surveys of establishments such as new businesses face significant challenges. Cooperation rates are generally lower than household surveys because of lack of interest, lack of time, or confidentiality concerns. The Kauffman Firm Survey (KFS), sponsored by the Ewing Marion Kauffman Foundation, used various techniques to achieve a response rate of 43 percent. The KFS used a multi-mode approach to encourage Web response and reduce telephone interviewing costs. In training telephone interviewers, refusal avoidance was emphasized, including quick response to initial reluctance to participate, and identifying and quickly responding to common reasons for refusal. We also emphasized completing the survey screener quickly to identify eligible businesses, which were about 35 percent of the sample. This paper describes these training methods, outlines other steps to improve response rates, and compares survey results of cases with an initial refusal with results from cases that completed without an initial refusal.