The number of new business filings soared to record levels in the fourth quarter, showing strong state economy heading into 2023.

The state also had significant job growth to end 2022, according to the Quarterly Business and Economic Indicators report released Monday by the University of Colorado Boulder Leeds Business Research Division and Colorado Secretary of State Jena Griswold.

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Colorado recorded the largest amount of new entity filings since this report began, reaching 48,806 postings. These filings increased year-over-year by 37.2% and 11.8% from the third quarter, according to the report.

But that good news is tempered slightly with delinquencies and dissolutions also increasing to 13,293 dissolutions. This is an increase of 17% year-over-year and 14.5% quarter-over-quarter. Renewals saw the positive trend of a 2.9% spike over the fourth quarter of 2021, equal to 171,210 renewals.

“Today’s quarterly economic indicators report shows that Colorado continues on an upward trajectory as 2022 came to a close,” Griswold said in a press conference Monday. “Colorado’s job growth continued in Q4, rounding out another strong year of employment gains.”

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While inflation is still high, Colorado has seen improvements. In the Denver, Aurora and Lakewood regions, the Consumer Price Index (CPI) increased 6.9% year-over-year in November 2022, which is slightly below the 7.1% national increase. Gas prices continued to fluctuate, with an increase of $0.92 per gallon from mid-January 2022 to the end of December.

“Inflation is falling at a greater rate in Colorado than much of the nation,” Griswold said. “Still, these high prices affect the ability of hard-working Coloradans to afford day-to-day necessities and ensure they are able to fill up their gas tanks and put food on the table.”

December’s employment growth increased by 3.7% year-over-year, equal to 104,700 jobs. The largest increases per sector were in other services, professional and business services and leisure and hospitality, according to the report. As previously reported, Colorado’s unemployment went down to 3.3% in December which is also below the national average of 3.5%.

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Per capita personal income in Colorado is $75,557, which is considered seventh nationally. For the second quarter in a row, per capita personal income growth  ranked first at 7.9%.

Colorado’s gross domestic product (GDP) increased by 3.2% year-over-year in last quarter of 2022, which is on track with national growth but also ranked sixth highest in the nation overall.