The percentage of students enrolled in for-profit institutions remains small, even though the number of institutions is growing. The Community College Research Center (CCRC) found that student enrollment in for-profit 2-year institutions accounted for 4 percent of total enrollment in 2-year institutions (Bailey, Badway, and Gumport 2003). Among 4-year institutions, the for-profit enrollment share was less than 2 percent. A report of the Education Commission of the States found that between 1989 and 1999, the number of for-profit 2-year degree-granting institutions grew 78 percent, representing 28 percent of all 2-year institutions in 1999. During the same period, the number of for-profit 4-year institutions grew by 266 percent (Bailey, Badway, and Gumport 2003).

Certificates accounted for 57 percent of all degrees awarded by U.S. for-profit 2-year institutions, which was more than awarded by public 2-year institutions (35 percent) (Bailey, Badway, and Gumport 2003). On the basis of case studies of three public community colleges and a for-profit chain, CCRC concluded that for-profit 2-year institutions are more appropriate for students interested in a narrowly focused career in a technical field, and community colleges are better suited to students who are interested in a general education or undecided on a major.