Starting a business is the American dream. Many people have a goal from a young age to start a company one day and be the CEO. Immigrants may move to the U.S. in hopes of finding entrepreneurial success on American soil.
Just how important are small businesses?
1. There Are 28 Million Small Businesses in the Country
That means for every large corporation in the country, there are 1,162 small businesses. That’s a huge difference and really goes to show just how impactful small businesses can be for the local economy.
2. Small Businesses Pay 44 Percent of Payroll
That’s pretty amazing, and is really a testament to just how many jobs are created by small businesses. Your company is putting food on other people’s tables.
3. Rural Areas Rely Heavily on Small Businesses
Less populated towns oftentimes aren’t located near big box stores like Target or Walmart. There may not be a Cheesecake Factory or a Costco. These small towns rely on locally owned businesses for their shopping needs.
4. Immigrants Make up Nearly 13 Percent of Small Business Owners
Many immigrants come to America with dreams of opening a business here – whether that be a high-tech company, a restaurant, or a retailer. Diversity is crucial for innovation!
5. Natural Disasters Really Impact Small Businesses
Destructive natural disasters like Hurricane Katrina and Superstorm Sandy damage businesses to the point of no return. Statistics show that if a company cannot resume normal operations after suffering a natural disaster, it will likely go out of business within one month.
6. Small Businesses Must Live Up to Their Name
The SBA defines a small business as a company with fewer than 500 employees. By your 501st hire, you’re no longer considered “small”!
7. Over Half a Million New Businesses Open Every Month
543,000 to be exact. That’s a lot of new companies. However, when you consider the fact that each month more businesses close than open, that puts the number into perspective.
8. More Than Half of Small Businesses Operate From Home
Approximately 52 percent of small businesses in the country are home-based businesses. Of course, these companies may not stay home-based for long, especially if demand for the product or service steadily increases.
9. More Than Half of the Working Population Is Employed by a Small Business
That’s an amazing statistic if you consider how huge the working population in this country is!
Some small business statistics are very encouraging, and some are downright scary. But what this list proves is just how important small businesses are in this country. They not only create jobs but also pave the way for creativity, diversity, and innovation. If you want to be at the helm of your own company but aren’t sure where to start, we’ve got a ton of information to help you. Just visit our website at www.biz2credit.com.