For-profit colleges and universities faced considerable scrutiny and a watchful eye from the previous federal administration, but that didn’t stop their consistent rise over the past five years.
For-profit institutions’ undergraduate enrollment increased by 21.5% from 2019 to 2024, experiencing positive year-over-year changes for four out of the five past fall semesters, according to the latest data from the National Student Clearinghouse Research Center. While its slice of enrollment in higher education is smaller, it boasts the strongest rate of growth relative to all other sectors.
Other findings include:
- While undergraduate enrollment has trended downward for white students across higher education for the past four years, the private for-profit sector is the only one to have experienced uninterrupted growth year-over-year.
- Hispanic and Black undergraduate enrollment last fall grew by 12.7% and 13%, respectively.
- The older the student, the more meteoric the growth. The percent positive change in enrollment among Black students ages 30 and older was nearly double that of 21- to 24-year-olds at 16.4%.
A survey by New America, a left-leaning think tank, reveals that minority students’ have the most positive attitudes about for-profit college. About half of Black and Latinx respondents believe that for-profit colleges are a good fit for them, and exactly 50% agree that their institutions are worth the cost.
More from UB: Undocumented students: 10 ways to keep their data safe
“Given that for-profit institutions have a track record of leaving students worse-off than they were before enrolling, the consistent gap between how people of color and white Americans feel about this sector is concerning as Black and Latinx students have historically faced higher levels of financial strain and less favorable outcomes,” read a blog post by New America.
In fact, low-income students and Black students attended for-profit colleges in Illinois at higher rates than their peers, reports WBEZ Chicago, which also found that students who attend two-thirds of these schools makes less than a high school graduate in the state.
Despite the ambivalent reputation for-profit colleges, their commitment to online modalities and short-term credentials has helped keep them relevant. The University of Phoenix, American Public University System, Ashford University and Capella University—some of the largest universities by enrollment size—are exclusively online. Secondly, fall 2024 enrollment in undergraduate certificates at for-profit schools grew by 24% over last year.
President Donald Trump’s administration may have also added more wind to the sector’s sails. The Department of Education is now expected to drop previous attempts from the Biden administration to enforce gainful employment regulations, which were expected to take effect earlier this month.
