Total VeteranWhat Businesses Do Veterans Start? Sectors and Data for the UK and US
Construction, technical services and transport lead the sectors where veterans start businesses. Official US and UK data, tables by sector and where to find support.
- US veterans owned 1,621,823 firms in 2021, including 304,823 employer firms (SBA Office of Advocacy, 2024).
- Professional, scientific and technical services has the most US veteran-owned employer firms: 52,167 in 2021.
- UK veterans are less often self-employed than non-veterans: 17.0% against 23.0% (ONS Census 2021).
- Self-employed UK veterans cluster in specialised construction (16.5%) and skilled building trades (21.0% of occupations).
- Support exists in both countries: SBA, VBOCs and VetCert in the US; X-Forces, Heropreneurs and Start Up Loans in the UK.
Veterans start businesses mostly in construction and the skilled trades, professional and technical services, transport and logistics, and administrative and support services. In the United States, professional, scientific and technical services holds the most veteran-owned employer firms. In the UK, the clearest signal comes from self-employed veterans, who are concentrated in specialised construction and land transport. This article sets out the figures from official sources, explains the pattern and lists where to get support in each country.
How many veterans run businesses?
The two countries measure this differently, so treat the numbers as separate pictures.
| Measure | United States | United Kingdom |
|---|---|---|
| Veteran-owned firms | 1,621,823 firms in 2021, of which 304,823 had employees and about 1.3 million had none (SBA Office of Advocacy, 2024) | No official count of veteran-owned firms |
| Employer firms | 4.7% to 5.4% of all US employer firms, depending on the Annual Business Survey year | Not published |
| Employees and sales | 3,251,345 employees and $983.9 billion in sales (2021) | Not published |
| Self-employment among working-age veterans | Not reported in these sources | 17.0% of economically active veterans in England and Wales, against 23.0% of comparable non-veterans (Census 2021, ONS, June 2024) |
The US Census Bureau reports the most recent Annual Business Survey figures for employer firms. For reference year 2021, it counted 304,823 veteran-owned employer firms with $922 billion in revenue, plus 122,970 firms owned equally by veterans and non-veterans (Census Bureau, November 2024). A later Census Bureau release puts the reference year 2022 figure at 273,542 firms, or 4.7% of employer firms. The two releases cover different reference years, so compare figures within a single release.
In the UK, the Office for National Statistics (ONS) analysed Census 2021 and found that veterans in England and Wales were less likely to be self-employed than similar non-veterans: 17.0% against 23.0% of the economically active, after adjusting for age, sex and region (ONS, 7 June 2024). Across all adults, including people not in the labour market, 7.2% of veterans and 9.6% of non-veterans were self-employed.
US sectors: where veteran-owned firms sit
Professional, scientific and technical services leads on count. The Census Bureau recorded 52,167 veteran-owned employer firms in that sector for 2021, 6.1% of all employer firms in it. Equally-owned firms cluster in retail trade (16,655), construction (15,803) and professional services (14,050).
The table below shows the veteran-owned share of all firms in each sector (2021, Census data compiled by the SBA Office of Advocacy). A higher share means veterans are over-represented in that sector, since veterans own 4.87% of all US firms.
| Sector | Veteran-owned share of firms (2021) |
|---|---|
| Utilities | 7.68% |
| Mining, quarrying, and oil and gas extraction | 7.26% |
| Finance and insurance | 6.85% |
| Agriculture, forestry, fishing and hunting | 6.56% |
| Manufacturing | 6.46% |
| Construction | 6.22% |
| Wholesale trade | 5.55% |
| Professional, scientific, and technical services | 5.52% |
| Transportation and warehousing | 5.25% |
| Administrative support and waste management | 4.83% |
| Retail trade | 4.51% |
| Real estate and rental and leasing | 4.10% |
| Educational services | 3.85% |
| Health care and social assistance | 3.83% |
| Accommodation and food services | 3.38% |
An earlier SBA Office of Advocacy brief using 2020 employer-firm data found that professional services, construction and retail together made up 40% of veteran-owned businesses. Veteran share was 8.5% in professional services, 8.7% in construction and 8.9% in administrative and support services (Issue Brief 18, May 2023). That brief also found that veteran-owned employer businesses fell by 11.5% between 2017 and 2020 while non-veteran firms grew 3.0%. Utilities and information were the only sectors where the veteran share rose.
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UK sectors: what the research shows
No UK body publishes veteran-owned firms by industry. The best evidence is a Forces in Mind Trust study by the Warwick Institute for Employment Research, published in 2018, which compared self-employed veterans with self-employed non-veterans (Lyonette and others, 2018).
| Industry or occupation (self-employed people) | Veterans | Non-veterans |
|---|---|---|
| Specialised construction | 16.5% | 11.4% |
| Construction of buildings | 9.6% | 6.9% |
| Land transport, including pipelines | 6.6% | Not in top three |
| Education | Not in top three | 5.6% |
| Skilled construction and building trades (occupation) | 21.0% | 14.2% |
| Corporate managers and directors (occupation) | 12.1% | 7.9% |
| Culture, media and sports (occupation) | 5.5% | 9.2% |
The same study found that veterans' businesses are smaller: 40.8% of self-employed veterans had one employee, against 25.9% of non-veterans. It also found 14.1% of self-employed veterans claim state benefits, against 21.8% of non-veterans.
Employed veterans in general show a related pattern. The ONS Census 2021 analysis found veterans over-represented in public administration and defence (11.6% against 5.9%) and transport and storage (9.8% against 7.0%).
Why veterans cluster in these sectors
The data supports four explanations. Each one is an interpretation of the figures, and none comes from a survey that asked veterans directly about sector choice.
- Trade and technical skills transfer directly. Self-employed UK veterans are over-represented in skilled construction trades (21.0% against 14.2%). Trades carry formal qualifications that customers recognise.
- Transport and logistics experience. Veterans are over-represented in UK transport and storage, and land transport is a leading industry for self-employed veterans.
- Government contracting. The US sets a federal goal of at least 5% of contracting dollars for service-disabled veteran-owned small businesses, which draws veterans into professional services, construction and manufacturing.
- Management experience. Self-employed veterans in the UK are more likely to be corporate managers and directors (12.1% against 7.9%), which fits founders running small consultancies and services firms.
The Warwick study also found that 43% of veterans surveyed had planned to become self-employed on leaving, and that many started years later, often after disillusionment with paid civilian work. The main barriers were finance, limited commercial and marketing knowledge, and translating Forces skills into a commercial setting (Forces in Mind Trust, 10 October 2018). For the decision itself, see our guide to starting a business after the Forces.
Where to get support in the United States
| Support | What it gives | Where |
|---|---|---|
| Boots to Business | Entrepreneurship course for transitioning service members, run through the Transition Assistance Program. More than 200,000 participants since 2013. | SBA release 24-52, June 2024 |
| VBOC (Veterans Business Outreach Centers) | Training, counselling, business evaluations and mentoring for veterans, Guard and Reserve members and military spouses. The SBA network had 28 centres in June 2024. | sba.gov/vboc |
| VetCert | SBA certification for veteran-owned and service-disabled veteran-owned small businesses. Required for VA set-aside and sole-source contracts. Firms need 51% veteran ownership and control. | SBA VetCert page, certifications.sba.gov, 866-722-4357 |
| SCORE | Free mentoring, with a Veteran Entrepreneurs Resource Hub. | score.org |
Call 866-SBA-HELP (866-722-4357) for the SBA, Monday to Friday, 8:00 a.m. to 8:00 p.m. Eastern. Check current requirements before applying, since certification rules changed after 2024 and may change again.
Where to get support in the United Kingdom
| Support | What it gives | Where |
|---|---|---|
| X-Forces Enterprise | Charity offering training, mentoring, funding routes and networking for service leavers, veterans, reservists, spouses and partners. Helps applicants access Start Up Loans. | x-forces.com |
| Heropreneurs (Forces Employment Charity) | Free mentoring, workshops and an awards programme for founders at any stage. Phone 0121 262 3058. | forcesemployment.org.uk |
| Start Up Loans | Loans of up to £25,000 at a fixed 7.5%, repaid over 1 to 5 years, with 12 months of free mentoring for first-time recipients. | startuploans.co.uk |
| VALOUR and GOV.UK directory | Searchable list of veteran support organisations, filterable for starting a business, plus Help to Grow courses and the Defence Office for Small Business Growth. | VALOUR guide |
Programme terms such as loan rates and certification rules change. Confirm them on the official page before you commit money or sign up.
For a comparison of entrepreneurship rates between the two countries, read UK vs US veteran entrepreneurship, and for the US self-employment route through rehabilitation benefits, see the VRE self-employment track.
What to do this week
- Compare your trade or technical skills with the sector tables and list the two sectors where you hold a qualification.
- Register for Boots to Business (US) or contact X-Forces Enterprise (UK) before your final leave date.
- Check whether VetCert applies if you plan to sell to US federal agencies and hold a VA disability rating.
- Book a free mentor through SCORE in the US or Heropreneurs in the UK and bring a one-page business idea.
- Price your start-up costs and compare a Start Up Loan with using your own savings.
Questions people ask
What type of business do most veterans start?
Are veterans more likely to be self-employed than civilians?
Is there UK government data on veteran-owned businesses?
What help can US veterans get to start a business?
- SBA Office of Advocacy, "Veteran Ownership Infographic Series" (2024). https://advocacy.sba.gov/wp-content/uploads/2024/11/Veteran-Ownership-Infographic-Series-2024_FINAL.pdf
- US Census Bureau, "Veteran-Owned Businesses Generated About 5.3% of Employer Firm Revenue" (November 2024). https://www.census.gov/library/stories/2024/11/veteran-owned-businesses.html
- SBA Office of Advocacy, "Deconstructing the Change in Veteran Business Ownership", Issue Brief 18 (May 2023). https://www.govinfo.gov/content/pkg/GOVPUB-SBA-PURL-gpo220988/pdf/GOVPUB-SBA-PURL-gpo220988.pdf
- ONS, "The labour market status of UK armed forces veterans, England and Wales: Census 2021" (7 June 2024). https://www.ons.gov.uk/peoplepopulationandcommunity/armedforcescommunity/articles/thelabourmarketstatusofukarmedforcesveteransenglandandwales/latest
- Lyonette and others, Warwick Institute for Employment Research, "Self-employment and the Armed Forces Community" (2018). https://warwick.ac.uk/fac/soc/ier/researchthemesoverview/researchprojects/fimt/final_report_ier_20181008.pdf
- Forces in Mind Trust, "New research highlights challenges veterans face in becoming self-employed" (10 October 2018). https://www.fim-trust.org/news-policy-item/new-research-highlights-challenges-veterans-face-in-becoming-self-employed/
- SBA, "Veteran Contracting Assistance Programs" (VetCert). https://www.sba.gov/federal-contracting/contracting-assistance-programs/veteran-contracting-assistance-programs
- SBA, "SBA Invests Over $1 Million to Expand Support for Veteran Entrepreneurs" (20 June 2024). https://www.sba.gov/article/2024/06/20/sba-invests-over-1-million-expand-support-veteran-entrepreneurs
- VALOUR, "Starting a business after service" guide. https://valour.campaign.gov.uk/starting-a-business-after-service-a-guide-for-veterans-and-families/
- Forces Employment Charity, "Heropreneurs". https://www.forcesemployment.org.uk/programmes/heropreneurs/
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