A new report from New Jersey Policy Perspective analyzing state level data finds New Jersey immigrants are far more likely to start businesses — especially those on Main Streets across the state — than their native-born peers.

The report, Immigrant Small Business Ownership is a Cornerstone of New Jersey’s Economy, shows that New Jersey’s economy benefits in a big way from immigrants and the businesses they create. In fact, data found that these small businesses – like grocery stores, hair salons and restaurants – generate approximately $1 billion in economic activity every year and are critical to downtowns and local economies across New Jersey and its 565 unique municipalities.

NJPP findings also show that immigrants account for 47 percent of the Garden State’s Main Street business owners despite making up just 22 percent of the total population.

The report states that the immigrant population in the Garden State has doubled since 1990, and the shares of immigrants in the labor force and immigrant business owners have grown along with it. In 2016, immigrants made up 31 percent of New Jersey’s business owners and 28 percent of the labor force, up from 18 percent and 15 percent, respectively, in 1990.

And while a majority of New Jersey’s Main Street businesses – 53 percent – are owned by individuals born in the United States, eight out of 10 dry cleaners and seven out of 10 grocery stores and bodegas are owned by immigrants.

Further, immigrant entrepreneurs own 50 percent or more of the state’s household maintenance businesses, transportation services, nail salons, computer service centers, restaurants and clothing stores.

New Jersey’s immigrant entrepreneurs are diverse in the types of businesses they own and in regard to their race and ethnicity. The state has the third highest share of immigrants and arguably the most ethnically diverse immigrant population and workforce in the nation. A majority – 54 percent – of Main Street immigrant business owners are Asian, while 15 percent are Hispanic.

In a press release, NJPP showed that owning a Main Street business comes with increased social capital, as these establishments are an important part of the fabric of their respective local communities. However, owning a Main Street business does not guarantee a higher salary.

The average annual earnings for an immigrant Main Street business owner in New Jersey are $45,117. This is less than the average earnings for their U.S.-born counterparts, who make $53,998 per year. When counting all businesses, the average annual earnings for an immigrant entrepreneur are $55,998. For U.S.-born businesses owners, the average annual earnings are $75,062.

For context, the average New Jersey immigrant earns $45,037 per year while U.S.-born New Jerseyans earn an average salary of $58,000.

Nevertheless, New Jersey’s immigrant business owners are a critical part of the state’s economy.

In total, New Jersey’s immigrant-owned businesses earn $4.4 billion per year, including $950 million per year from Main Street businesses. These earnings inject money into local economies, employ thousands of New Jersey workers, and in some cases act as a lifeline for neighborhoods that have experienced decades of disinvestment and population decline.