Small businesses are under increasing pressure. Whether from direct assaults from both the citizenry during the recent national protests or due to the global pandemic in recent months. Challenged by new operating requirements to reduce viral transmissions and in some cases the need to rebuild or repair their businesses after the random protests that became sadly violent. This hits at the heart of the country’s and the global economy which is struggling to restart.
Many people wonder how powerful small business really is and what role small businesses have in fueling economies worldwide. The SBA’s most updated statistics regarding small business clearly highlights its power. Whether they are established family-owned businesses or fledgling start-ups, these entities continue to dominate the landscape and embody the dreams and hopes of entrepreneurs.
2019 SBA STATISTICS (the most recent statistics available) https://www.oberlo.com/blog/small-business-statistics
- 7 million small businesses in the U.S.
- Small business stats show that most businesses in America have fewer than 500 employees. Those businesses with fewer than 100 employees account for 98.2 percent, and those with fewer than 20 employees account for 89 percent of all businesses in the country.
- U.S. small businesses create 1.5 million jobs and account for 64% of new jobs created
- Over 90 percent of the business population represents small and medium-sized businesses, also known as SMEs (SalesForce, 2019). Small and medium enterprises represent more than 90% of the business population, account for up to 70% of global employment, and responsible for over half of the GDP in developed countries.
- It is estimated that there are up to 445 million micro and small and medium enterprises in emerging markets around the world.
- 99% of all businesses in the European Union are classified as SMEs.
- 4% of manufacturing exporters in the US are SMEs.
- 3% of private-sector employers are micro-businesses or those with less than ten employees.
- 4% of all small businesses or around 9.9 million small businesses in the US are owned by women, while men own 14.8 million.
With these numbers come great impact and it is imperative that small business be protected and nurtured. #buylocalshopsmall
Resiliency is the cornerstone of any small business owner or entrepreneur Even in the face of pandemic or civil unrest business owners press on. As a matter of fact, women-owned and minority-owned business are seeing great growth. In 2019 American Express created a report which states “between 2014 and 2019, the number of women-owned businesses climbed 21% to a total of nearly 13 million (12,943,400)”. (https://about.americanexpress.com/files/doc_library/file/2019-state-of-women-owned-businesses-report.pdf) Additional minority-owned business growth is also impressive. “The number of businesses in our minority communities continues to grow, adding to our competitive advantage. Over the last 10 years, minority business enterprises accounted for more than 50 percent of the two million new businesses started in the United States and created 4.7 million jobs”.
Building dreams extends to the new generation of entrepreneurs, “statistics show us that the new generation of entrepreneurs is more likely to side-hustle. In fact, Millennials and Gen Zers are 188 percent more likely to have the aim of creating a side business, compared to Baby Boomers or traditionalists” (SalesForce, 2019).
Undaunted, dream-builders remain steadfast in pursuing small business ownership. Most who start their own business indicate that ‘being their own boss’ and directing their future is the top reason to start a business.
It’s not time to take the foot of the gas. In fact, it is time to continue to pursue business ownership worldwide. The innovative thinking, nimble delivery and creative products are created by small business owners every day. With technology small business ownership is closer and more accessible than ever before as entrepreneurs rush to fill the gaps big-business leaves behind. Communities worldwide must support local legislation to support small business growth.
If you are someone who has been considering small business ownership, consider the business service sector, like business coaching,which is seeing the largest growth rate of any industry. virtual business environment affords entrepreneurs more flexibility and offers them more resources to grow their business over time. Business coaching helps to reduce the number of business which fail within the first year of operation, because it helps owners focus and correct systems and processes which left untended can lead to a small business’ demise.
Small business owners are your neighbors. They serve you, your family and your friends. They provide vital services and offer products which make all our lives better. Support them. Become them. Either way the impact will be huge.