Bend business registrations grow by 3% in 2022

Published 3:45 pm Saturday, January 28, 2023

By SUZANNE ROIG
The Bulletin

: More than 3,500 new Central Oregon businesses filed with state officials in 2022, a slight increase from the previous year.

When Lilian Kral decided she wanted to open an indoor climbing facility, she chose Bend because of its proximity to one of Oregon’s natural wonders, Smith Rock.

She also chose Bend because a short walk took her into wilderness areas and to young people just like her.

So three weeks ago, she opened Boardworks, a climbing studio on SE Reed Market Road and Third Street in Bend.

“Bend caters to rock climbers,” said Kral, 30. “There’s a lot of them in the area and it’s ideal because there’s a young, growing population here.”

Kral is among the 3,625 new local businesses that filed with the Oregon Secretary of State in 2022. In 2022, according to the data, there were 3% more new businesses opening than in 2021, according to data compiled by Jeff Eager, an attorney at EagerLaw PC.

In Bend, that translated to one new registered business for every 28 residents in 2022, Eager said. By comparison, the per capita rate in Portland was one business for ever 39 residents filed in 2022 and in Eugene there was one new business for ever 51 residents, according to the findings.

What this says, Eager said, is that more businesses open in Bend than other cities.

“Bend attracts pretty entrepreneurial people,” Eager said. “What we’re seeing is a lot of people coming here for a business to make a living. Bend is on the map for entrepreneurs.

The numbers are supported by tax collection from businesses in Deschutes County. In 2022, the county collected more than $10 million in personal property taxes from businesses, compared to $6.8 million in 2017, according to the Deschutes County Finance department.

The growth comes at a time when high inflation is raising the prices of goods and services and employers are desperate for workers, said Jon Stark, Economic Development for Central Oregon CEO.

“We had a year in which we had the highest employment yet, but employers couldn’t find the people to work,” Stark said. “It’s a healthy employment picture. Going forward we’ll be able to absorb potential shifts in other industries.”

While trying to recruit workers to Bend, some businesses also had to deal with workers who couldn’t afford to live in Bend because of soaring housing prices and child care.

“You can move here, but it’s not cheap to live in Bend,” Eager said.

The pace of relocating businesses slowed from previous years, said Don Myll, Economic Development for Central Oregon Bend area director.

That’s in part due to higher residential and commercial real estate values and shrinking supply of land, Myll said.

“The growth in critical mass for broadening range of local industries continues to draw entrepreneurs and business owners to Central Oregon,” Myll said. “I believe this signals a strengthening foundation of our local economy.”

Bringing in new business is good for the city, said Katy Brooks, Bend Chamber of Commerce CEO. But not all the businesses that come to Bend occupy commercial space.

“Businesses growth looks different than it used to,” Brooks said. “Bend businesses often use less space and sometimes work entirely remotely. This is important because Bend continues to have a shortfall of commercial and industrial properties available for new or expanding businesses.”

Bend continues to attract startups in the outdoor products, biotechnology, specialty food manufacturing, clean technology and aviation, he said.

Finding a space was among the biggest challenges Kral experienced when she began her new business journey nearly two years ago.

Kral’s climbing studio is as unique as Bend is. It’s a membership-based studio that is open 24 hours a day and is unmanned. Members can access it any time day or night to climb, or do other training activities in the 4,000-square-foot studio.

“I came to Bend because of the climbing,” Kral said. “Bend is a small mountain town and it’s close to the outdoor areas and beauty. There are days of sunshine, a great culture here and that makes it attractive.”

The number of new business filings in 2022 and 2019, according to the Oregon Secretary of State filings are: