The power of U.S. private businesses: Pivotal moments over 250 years

June 23, 2026
  • Capital Partners
Private businesses have been a cornerstone of the U.S. across its 250-year history. Here, we take a closer look at private businesses’ and their owners’ significant contributions to the U.S. economy, historical milestones, and heritage.
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The history of U.S. private businesses

  • 1776-1850: Bartering between farmers, merchants, and artisans dominate this period. During this time, in 1818, BBH kicks off its 200-plus years of partnership.
  • 1850-1900: Driven by private business owners John D. Rockefeller and Andrew Carnegie, the industrial revolution begins. This era is defined by the popularization of factories, manufacturing, and mills.
  • 1900-1945: Urbanization and the rise of the middle class lead to private business growth in retailers, general stores, repair shops, and automobiles. This marks the start for many notable businesses, including Coca Cola Bottling Co. United and Publix.
  • 1945-1960: Post-World War II, manufacturing of U.S.-made goods, including Southwire and Amway, surge across all industries.
  • 1960-2000: Private businesses create over 86% of new jobs, as many companies like Bloomberg and Great American Outdoors Group are founded.
  • 2000-Now: As technology, AI, and IoT continue to rise in dominance, private businesses such as Anthropic and Carahsoft are redefining what’s possible.

Private businesses play a vital role in the U.S. economy

  • Contribute $3.1 trillion to the U.S. GDP and 10% to states’ GDP
  • With their economic impact, these companies are able to support local businesses and communities
  • Valued at $14.1 trillion
  • Employ 17.3 million individuals and account for 13% of the U.S. private workforce
  • Generate $1.7 trillion in personal income, or 7% of U.S. total personal income
  • In major metropolitan areas:

                o Generate over 10% of each state’s GDP

                o Account for one out of every 10 local jobs

Sources: BBH Analysis, Forbes, National Park Service, Ooma, PitchBook, Ronald Reagan Presidential Library, U.S. Chamber of Commerce.

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