Small Business at a Glance
- Defines small businesses as firms with less than 100 employees and midsize businesses as firms with 100 to 999 employees; small and midsize businesses (SMB) are classified as firms with less than 1,000 employees.
- Does not include homebased businesses in its definition of small businesses.
- Defines small-office/home-offices (SOHOs) as small businesses with less than 10 employees that have income-generating home offices.
Small businesses: - Represent more than 99.7% of all employers
- Employ half of all private-sector workers and 39% of workers in high-tech jobs
- Provide 60% to 80% of the net new jobs annually
- Pay 44.3% of total U.S. private payroll
- Produce more than 50% of nonfarm private gross domestic product, or a GDP of roughly $6 trillion
- Are 3% franchises
There are roughly 130 million U.S. workers employed by small businesses.
Small businesses account for:
- 52.6% of all retail sales
- 46.8% of all wholesale sales
- 24.8% of all manufacturing sales
97% of all U.S. exporters of goods are small businesses.
Small businesses produce 13 to 14 times more patents per employee than large patenting firms.
The average annual revenue of a small business is $3.6 million.
The average annual revenue of a small business with a website is $5.03 million.