NAICS 81

Other Services in California: 2026 Market Risk Report

Entry risk 57.1 (High), ranked #45 of 51 states. 105,324 establishments, 571,787 jobs.

Entry Risk Assessment

Entry Risk Score 57.1
Low 0-30
Moderate 30-42
Elevated 42-55
High 55+
High Risk

Lower is better. Relative to national other services average.

Volatile Market📈Growth Opportunity

Despite ranking top 5 in growth momentum, California presents structural entry friction. Wage pressure (68.9) and an overall risk score of 57.1 indicate that top-line growth may not translate to favorable unit economics for new establishments.

5-Year Firm Retention
5.9%
Percentile within industry
Rank #49 of 51 states
Growth Momentum
77.2
Scale of 0-100
Rank #5 of 51 states
Establishment Density
6.6
vs. national average
Rank #26 of 51 states
Market Volatility
84.4
Lower is more stable
Wage Pressure Index
68.9
Labor cost pressure

105,324 Establishments in California

105,324
Establishments
+3.2% YoY
571,787
Total Employment
+2.1% YoY
$54,659
Average Annual Wage
+3.2% YoY

California vs National Other Services Average

How California's other services market compares to the national average across all 51 states.

Metric CA National Difference
Entry Risk Score 57.1 44.9 +12.2
5-Year Retention 5.9% 51.0% -45.1
Growth Momentum 77.2 40.9 +36.3
Market Volatility 84.4 32.6 +51.8
Establishment Density 6.6 8.7 -2.1
Wage Pressure 68.9 78.2 -9.3

Green = favorable vs national average. Red = less favorable. Metrics are relative within other services only.

California Ranks #45 of 51 for Other Services

California ranks #45 out of 51 states for other services market entry conditions.

Other Services Entry Risk by State

Rank State Risk Score Classification
#1 South Dakota 28.9 low
#2 Nebraska 30.5 moderate
#3 Iowa 32.5 moderate
#4 West Virginia 32.7 moderate
#5 Indiana 33.9 moderate
#45 California You 57.1 high

About Entry Risk Score: A weighted composite of firm retention, growth momentum, market volatility, establishment density, and wage pressure. Lower scores indicate more favorable conditions. Read full methodology →

Data Sources

Data period: 2024. Last updated: February 2026. Next refresh expected: Q2 2026 (BLS QCEW update).

Compare to Another State

How does California stack up against other states for other services?

Select a state above to see the comparison

Other Services in Neighboring States

How California's other services market compares to bordering states.

Other Industries in California