What Is a Small Business?

Saturday, November 27, is Small Business Saturday, but what is a small business, and how many of them are there in the United States?

According to the US Small Business Administration Office of Advocacy’s 2021 Small Business Profile report, there are 32.5 million small businesses in the US.

This report defines small businesses as firms with fewer than 500 employees.

61.2 million employees, or 46.8% of all active employees in the country, work for small businesses.

81.4% of employees were self-employed, while 16.6% worked in firms of 2-19 employees, and the remaining 2% or so in firms of 20-499.

Professional, Scientific, Technical Services, Construction, Real Estate, Transportation, Retail, and Health Care industries were among the top employers.

Women represented 47.3% of all small business employees, Racial Minorities 24.8%, Hispanics 17.6%, and Veterans 5.0%.

We look forward to financing your small business very soon. Contact us today.