Starting a Small Business in Hawaii

Welcome to the Small Business Startup Hawaii Franchise Directory! Here, you’ll find everything you need to begin your journey to business ownership in The Aloha State. If you’re considering starting a small business in Hawaii, read on for an overview of the state economy. Afterward, explore business opportunities and franchises for sale with our Hawaii Franchise Search Tool.

Hawaii Industry Trends

If an industry is performing well, business opportunities within it are often worth exploring. Begin your market research with this list of the Hawaii economy’s most prominent industries in 2022. Afterward, take your research one step further by investigating niche markets and B2B opportunities within one of these top revenue-generating industries.

1. Tourism (Revenue: $218.7 billion)
2. Hotels & Motels (Revenue: $11.1 billion)
3. Public Schools (Revenue: $9.2 billion)
4. Health & Medical Insurance (Revenue: $5.5 billion)
5. Hospitals (Revenue: $5.2 billion)
6. New Car Dealers (Revenue: $4.7 billion)
7. Commercial Banking (Revenue: $4.7 billion)
8. Supermarkets & Grocery Stores (Revenue: $4.2 billion)
9. Warehouse Clubs & Supercenters (Revenue: $3.5 billion)
10. Specialist Doctors (Revenue: $33 billion)

Hawaii Sector Statistics

When starting a small business in Hawaii, gross domestic product (GDP) is another tool entrepreneurs can use to make investment decisions. Generally, a steadily rising GDP means that people are spending more money and creating more jobs.

The three sectors that contributed most to Hawaii’s GDP in 2022 were Real Estate, Rentals & Leasing; Healthcare & Social Assistance; and Retail Trade. Combined, these three sectors represented 42.8% of the state’s GDP. In 2022, the sectors that contributed most to Hawaii’s GDP included:

1. Real Estate & Rental and Leasing (Value: $12.9 billion* | Annual growth: -0.7%)
2. Healthcare & Social Assistance (Value: $6.2 billion* | Annual growth: 2.4%)
3. Retail Trade (Value: $5.2 billion* | Annual growth: -2.3%)
4. Accommodation & Food Services (Value: $4.4 billion* | Annual growth: -28.1%)
5. Construction (Value: $3.9 billion* | Annual growth: -0.6%)
6. Professional, Scientific & Technical Services (Value: $3.7 billion* | Annual growth: 2.7%)
7. Finance & Insurance (Value: $3.2 billion* | Annual growth: 6.4%)
8. Information (Value: $2.7 billion* | Annual growth: 8.7%)
9. Wholesale Trade (Value: $2.4 billion* | Annual growth: -0.7%)
10. Administration, Business Support & Waste Management Services (Value: $2.3 billion* | Annual growth: -0.2%)
11. Transportation & Warehousing (Value: $2.2 billion* | Annual growth: -11.2%)
12. Manufacturing (Value: $1.5 billion* | Annual growth: -2.0%)
13. Other Services (except Public Administration) (Value: $1.4 billion* | Annual growth: -3.9%)
14. Utilities (Value: $1.4 billion* | Annual growth: -3.8%)
15. Management of Companies and Enterprises (Value: $1.2 billion* | Annual growth: -0.3%)

*Approximately

Hawaii Population Statistics

A growing population often means greater demand and a steady flow of new customers. If you are undecided about the location of your new business, start by investigating population statistics. Afterward, take your research a step further by exploring population demographics. Doing so lets you decide whether a location is a good match for your target market.

In 2022, counties with the highest populations in Hawaii included:

1. Honolulu (Population: 948,600 | Annual growth rate*: -0.8%)
2. Hawaii (Population: 205,400 | Annual growth rate*: 0.5%)
3. Kauai (Population: 71,700 | Annual growth rate*: -0.1%)

*From 2017 to 2022.

Hawaii Business Opportunities

We hope this snapshot of the Hawaii economy helps as you investigate business opportunities in The Aloha State! Starting a small business in Hawaii is an exciting journey, and we know you’re probably eager to start. But remember, take your time to explore all your options. While you’ll always have the “opportunity” to start your own business, sometimes, it makes more sense to invest in an opportunity that already exists. These are called “Franchise Opportunities,” and they offer several benefits, including the recognition of a well-established brand and a proven track record of success.

To learn more, start by exploring franchise opportunities in Hawaii below!