http://www.techcelerate.ventures
30.2 million Small Businesses 58.9 million Small Business Employees 99.9% of United States Businesses 47.5% of United States Employees
About Techcelerate Ventures
Tech Investment and Growth Advisory for Series A in the UK, operating in £150k to £5m investment market, working with #SaaS #FinTech #HealthTech #MarketPlaces and #PropTech companies.
UNITED STATES
30.2 million Small Businesses
58.9 million Small Business Employees
99.9%
of United States Businesses
47.5%
of United States Employees
EMPLOYMENT
1.9 million
net new jobs
DIVERSITY
8.0 million
minority-owned
businesses
TRADE
287,835
small business
exporters
OVERALL UNITED STATES ECONOMY
Multiple economic indicators consistently signaled a strengthening US economy in 2017. In the third quarter of 2017, the
United States grew at an annual rate of 3.4%. The United States's 2016 growth rate of 1.5% was down from the 2015 rate
of 2.7%. (Source: BEA)
The employment situation in the United States continued to improve. In February 2018, the unemployment rate was 4.1%,
down from 4.7% in February 2017. (Source: CPS)
EMPLOYMENT
Figure 1: United States Employment by Business Size
(Employees)
fewer than 20
20 to 99
100 to 499
more than 500
0
20M
40M
60M
80M
100M
120M
2000
2005
2010
2015
United States small businesses employed 58.9 million peo
ple, or 47.5% of the private workforce, in 2015. (Source:
SUSB)
Firms with fewer than 100 employees have the largest share
of small business employment. Figure 1 provides further
details on firms with employees. (Source: SUSB)
Private-sector employment increased 1.8% during the 12
month period ending in February 2018. This was above the
increase of 1.0% during the prior 12-month period. (Source:
CPS)
The number of proprietors increased in 2016 by 2.3% rela
tive to the previous year. (Source: BEA)
Small businesses created 1.9 million net jobs in 2015. Firms
employing fewer than 20 employees experienced the largest
gains, adding 1.1 million net jobs. The smallest gains were
in firms employing 100 to 499 employees, which added
387,874 net jobs. (Source: SUSB)
The Small Business Profiles are produced by the US Small Business Administration's Office of Advocacy. Each report incorporates the most up-to-date
government data to present a unique snapshot of small businesses. Small businesses are defined for this profile as firms employing fewer than 500
employees. Net small business job change, minority small business ownership, and exporter share statistics are based on the 2015 Statistics of US
Businesses (SUSB), 2012 Survey of Business Owners (SBO), and 2015 International Trade Administration (ITA) data, respectively.
SBA Office of Advocacy
1
United States Small Business Profile, 2018
INCOME AND FINANCE
The number of banks decreased by 271 between June 2016 and June 2017 to 5,787 banks. (Source: FDIC)
In 2016, 5.7 million loans under $100,000 (valued at $82.6 billion) were issued by United States lending institutions reporting
under the Community Reinvestment Act. (Source: FFIEC)
The median income for individuals self-employed at their own incorporated businesses was $50,347 in 2016. For individuals
self-employed at their own unincorporated firms, this figure was $23,060. (Source: ACS)
Median income represents earnings from all sources. Unincorporated self-employment income includes unpaid family workers, a very small percent of
the unincorporated self-employed.
EMPLOYER BUSINESS OWNER DEMOGRAPHICS
Figure 2: United States Employees per Business by Owner's Demographic, 2015
Male
Female
Nonminority
Minority
Nonveteran
Veteran
Some other race
Native American-Alaskan
Hispanic
Hawaiian-Pacific Islander
Asian
African American
All Firms
0
2
4
6
8
10
12
Figure 2 shows the average number of employees per employer business by owner's demographic group according to the Annual Survey of Entrepreneurs
(ASE).
TURNOVER AMONG ESTABLISHMENTS WITH EMPLOYEES
Figure 3: United States Quarterly Startups and Exits
160K
180K
200K
220K
240K
1995
2000
2005
2010
2015
startups
exits
In the third quarter of 2016, 240,000 establishments started
up, generating 872,000 new jobs in the United States. Star
tups are counted when business establishments hire at
least one employee for the first time. (Source: BDM)
In the same period, 215,000 establishments exited resulting
in 749,000 jobs lost. Exits occur when establishments go
from having at least one employee to having none, and then
remain closed for at least one year. (Source: BDM)
Figure 3 displays quarterly startups and exits from 1992 to
2016. Each series is smoothed across multiple quarters to
highlight long-run trends. (Source: BDM)
The BLS data covers only business establishments with employees. BLS
refers to startups as births and exits as deaths. These terms are distinct
from the BLS openings and closings categories. Openings include sea
sonal re-openings and closings include seasonal shutterings. Quarterly
startup and exit values may not align with Figure 3 due to smoothing.
SBA Office of Advocacy
2
United States Small Business Profile, 2018
INTERNATIONAL TRADE
A total of 294,834 companies exported goods from the United States in 2015. Of these, 287,835, or 97.6%, were small
firms; they generated 32.9% of the United States's $1.3 trillion in total exports. (Source: ITA)
SMALL BUSINESS EMPLOYMENT BY INDUSTRY AND COUNTY
Table 1: United States Employment by Industry, 2015
Industry
Small Business
Total Private
Small Business
Employment
Employment
Employment Share
Health Care and Social Assistance
8,687,568
19,221,864
45.2
Accommodation and Food Services
7,997,654
13,196,892
60.6
Retail Trade
5,514,378
15,704,167
35.1
Manufacturing
5,155,086
11,605,501
44.4
Professional, Scientific, and Technical Services
5,075,601
8,798,260
57.7
Construction
4,944,116
6,008,286
82.3
Other Services (except Public Administration)
4,626,826
5,401,233
85.7
Administrative, Support, and Waste Management
3,625,057
11,112,465
32.6
Wholesale Trade
3,486,807
6,076,109
57.4
Finance and Insurance
1,920,066
6,135,914
31.3
Transportation and Warehousing
1,650,009
4,616,568
35.7
Educational Services
1,603,707
3,642,170
44.0
Real Estate and Rental and Leasing
1,410,530
2,065,427
68.3
Arts, Entertainment, and Recreation
1,370,194
2,230,822
61.4
Information
897,225
3,394,317
26.4
Management of Companies and Enterprises
404,386
3,308,759
12.2
Mining, Quarrying, and Oil and Gas Extraction
296,005
743,660
39.8
Agriculture, Forestry, and Fishing and Hunting
136,254
160,144
85.1
Utilities
112,523
639,234
17.6
Industries not classified
24,155
24,155
100.0
Total
58,938,147
124,085,947
47.5
Figure 4: United States Small Business Employment by County, 2015
Small Business Employment (%)
16 to 50
50 to 60
60 to 74
74 to 100
SBA Office of Advocacy
3
United States Small Business Profile, 2018
SMALL BUSINESSES BY INDUSTRY
Table 2: United States Small Businesses by Industry and Firm Size, 2015
Industry
1-499 Employees 1-20 Employees Nonemployer Total Small Firms
Firms
Professional, Scientific, and Technical Services
796,737
747,952
3,410,855
4,207,592
Other Services (except Public Administration)
680,783
635,810
3,695,012
4,375,795
Construction
668,196
615,701
2,430,014
3,098,210
Health Care and Social Assistance
652,900
569,088
1,978,850
2,631,750
Retail Trade
650,133
594,267
1,985,553
2,635,686
Accommodation and Food Services
515,566
401,142
371,413
886,979
Administrative, Support, and Waste Management
331,964
295,202
2,069,144
2,401,108
Wholesale Trade
304,031
262,019
417,272
721,303
Real Estate and Rental and Leasing
290,173
277,338
2,635,780
2,925,953
Manufacturing
247,961
187,862
355,467
603,428
Finance and Insurance
235,726
218,939
718,472
954,198
Transportation and Warehousing
177,150
157,974
1,528,264
1,705,414
Arts, Entertainment, and Recreation
122,089
106,357
1,341,733
1,463,822
Educational Services
88,826
70,210
710,383
799,209
Information
73,028
63,321
328,995
402,023
Mining, Quarrying, and Oil and Gas Extraction
21,657
18,157
98,134
119,791
Agriculture, Forestry, and Fishing and Hunting
21,584
20,212
236,094
257,678
Utilities
5,706
4,493
19,968
25,674
Total
5,881,267
5,265,682
24,331,403
30,212,670
Figure 4 and Tables 1 and 2 display data from the 2015 SUSB. Table 2 includes additional data from the 2015 Nonemployer Statistics (NES). Data for
counties shown in white in Figure 4 were withheld by the Census Bureau because they do not meet publication standards or could disclose information
regarding individual businesses.
REFERENCES
The Small Business Profiles, source data, and methodology are available at https://go.usa.gov/xQT4w.
ASE
Annual Survey of Entrepreneurs, US Census Bureau
BEA
Bureau of Economic Analysis, US Department of Commerce
BDM
Business Employment Dynamics, BLS
BLS
Bureau of Labor Statistics, US Department of Labor
CPS
Current Population Survey, BLS
FDIC
Call Reports, Federal Deposit Insurance Corporation
FFIEC Federal Financial Institutions Examination Council
ITA
International Trade Administration, US Department of Commerce
NES
Nonemployer Statistics, US Census Bureau
SBO
Survey of Business Owners, US Census Bureau
SUSB Statistics of US Businesses, US Census Bureau
SBA Office of Advocacy
4
United States Small Business Profile, 2018
30.2 million Small Businesses
58.9 million Small Business Employees
99.9%
of United States Businesses
47.5%
of United States Employees
EMPLOYMENT
1.9 million
net new jobs
DIVERSITY
8.0 million
minority-owned
businesses
TRADE
287,835
small business
exporters
OVERALL UNITED STATES ECONOMY
Multiple economic indicators consistently signaled a strengthening US economy in 2017. In the third quarter of 2017, the
United States grew at an annual rate of 3.4%. The United States's 2016 growth rate of 1.5% was down from the 2015 rate
of 2.7%. (Source: BEA)
The employment situation in the United States continued to improve. In February 2018, the unemployment rate was 4.1%,
down from 4.7% in February 2017. (Source: CPS)
EMPLOYMENT
Figure 1: United States Employment by Business Size
(Employees)
fewer than 20
20 to 99
100 to 499
more than 500
0
20M
40M
60M
80M
100M
120M
2000
2005
2010
2015
United States small businesses employed 58.9 million peo
ple, or 47.5% of the private workforce, in 2015. (Source:
SUSB)
Firms with fewer than 100 employees have the largest share
of small business employment. Figure 1 provides further
details on firms with employees. (Source: SUSB)
Private-sector employment increased 1.8% during the 12
month period ending in February 2018. This was above the
increase of 1.0% during the prior 12-month period. (Source:
CPS)
The number of proprietors increased in 2016 by 2.3% rela
tive to the previous year. (Source: BEA)
Small businesses created 1.9 million net jobs in 2015. Firms
employing fewer than 20 employees experienced the largest
gains, adding 1.1 million net jobs. The smallest gains were
in firms employing 100 to 499 employees, which added
387,874 net jobs. (Source: SUSB)
The Small Business Profiles are produced by the US Small Business Administration's Office of Advocacy. Each report incorporates the most up-to-date
government data to present a unique snapshot of small businesses. Small businesses are defined for this profile as firms employing fewer than 500
employees. Net small business job change, minority small business ownership, and exporter share statistics are based on the 2015 Statistics of US
Businesses (SUSB), 2012 Survey of Business Owners (SBO), and 2015 International Trade Administration (ITA) data, respectively.
SBA Office of Advocacy
1
United States Small Business Profile, 2018
INCOME AND FINANCE
The number of banks decreased by 271 between June 2016 and June 2017 to 5,787 banks. (Source: FDIC)
In 2016, 5.7 million loans under $100,000 (valued at $82.6 billion) were issued by United States lending institutions reporting
under the Community Reinvestment Act. (Source: FFIEC)
The median income for individuals self-employed at their own incorporated businesses was $50,347 in 2016. For individuals
self-employed at their own unincorporated firms, this figure was $23,060. (Source: ACS)
Median income represents earnings from all sources. Unincorporated self-employment income includes unpaid family workers, a very small percent of
the unincorporated self-employed.
EMPLOYER BUSINESS OWNER DEMOGRAPHICS
Figure 2: United States Employees per Business by Owner's Demographic, 2015
Male
Female
Nonminority
Minority
Nonveteran
Veteran
Some other race
Native American-Alaskan
Hispanic
Hawaiian-Pacific Islander
Asian
African American
All Firms
0
2
4
6
8
10
12
Figure 2 shows the average number of employees per employer business by owner's demographic group according to the Annual Survey of Entrepreneurs
(ASE).
TURNOVER AMONG ESTABLISHMENTS WITH EMPLOYEES
Figure 3: United States Quarterly Startups and Exits
160K
180K
200K
220K
240K
1995
2000
2005
2010
2015
startups
exits
In the third quarter of 2016, 240,000 establishments started
up, generating 872,000 new jobs in the United States. Star
tups are counted when business establishments hire at
least one employee for the first time. (Source: BDM)
In the same period, 215,000 establishments exited resulting
in 749,000 jobs lost. Exits occur when establishments go
from having at least one employee to having none, and then
remain closed for at least one year. (Source: BDM)
Figure 3 displays quarterly startups and exits from 1992 to
2016. Each series is smoothed across multiple quarters to
highlight long-run trends. (Source: BDM)
The BLS data covers only business establishments with employees. BLS
refers to startups as births and exits as deaths. These terms are distinct
from the BLS openings and closings categories. Openings include sea
sonal re-openings and closings include seasonal shutterings. Quarterly
startup and exit values may not align with Figure 3 due to smoothing.
SBA Office of Advocacy
2
United States Small Business Profile, 2018
INTERNATIONAL TRADE
A total of 294,834 companies exported goods from the United States in 2015. Of these, 287,835, or 97.6%, were small
firms; they generated 32.9% of the United States's $1.3 trillion in total exports. (Source: ITA)
SMALL BUSINESS EMPLOYMENT BY INDUSTRY AND COUNTY
Table 1: United States Employment by Industry, 2015
Industry
Small Business
Total Private
Small Business
Employment
Employment
Employment Share
Health Care and Social Assistance
8,687,568
19,221,864
45.2
Accommodation and Food Services
7,997,654
13,196,892
60.6
Retail Trade
5,514,378
15,704,167
35.1
Manufacturing
5,155,086
11,605,501
44.4
Professional, Scientific, and Technical Services
5,075,601
8,798,260
57.7
Construction
4,944,116
6,008,286
82.3
Other Services (except Public Administration)
4,626,826
5,401,233
85.7
Administrative, Support, and Waste Management
3,625,057
11,112,465
32.6
Wholesale Trade
3,486,807
6,076,109
57.4
Finance and Insurance
1,920,066
6,135,914
31.3
Transportation and Warehousing
1,650,009
4,616,568
35.7
Educational Services
1,603,707
3,642,170
44.0
Real Estate and Rental and Leasing
1,410,530
2,065,427
68.3
Arts, Entertainment, and Recreation
1,370,194
2,230,822
61.4
Information
897,225
3,394,317
26.4
Management of Companies and Enterprises
404,386
3,308,759
12.2
Mining, Quarrying, and Oil and Gas Extraction
296,005
743,660
39.8
Agriculture, Forestry, and Fishing and Hunting
136,254
160,144
85.1
Utilities
112,523
639,234
17.6
Industries not classified
24,155
24,155
100.0
Total
58,938,147
124,085,947
47.5
Figure 4: United States Small Business Employment by County, 2015
Small Business Employment (%)
16 to 50
50 to 60
60 to 74
74 to 100
SBA Office of Advocacy
3
United States Small Business Profile, 2018
SMALL BUSINESSES BY INDUSTRY
Table 2: United States Small Businesses by Industry and Firm Size, 2015
Industry
1-499 Employees 1-20 Employees Nonemployer Total Small Firms
Firms
Professional, Scientific, and Technical Services
796,737
747,952
3,410,855
4,207,592
Other Services (except Public Administration)
680,783
635,810
3,695,012
4,375,795
Construction
668,196
615,701
2,430,014
3,098,210
Health Care and Social Assistance
652,900
569,088
1,978,850
2,631,750
Retail Trade
650,133
594,267
1,985,553
2,635,686
Accommodation and Food Services
515,566
401,142
371,413
886,979
Administrative, Support, and Waste Management
331,964
295,202
2,069,144
2,401,108
Wholesale Trade
304,031
262,019
417,272
721,303
Real Estate and Rental and Leasing
290,173
277,338
2,635,780
2,925,953
Manufacturing
247,961
187,862
355,467
603,428
Finance and Insurance
235,726
218,939
718,472
954,198
Transportation and Warehousing
177,150
157,974
1,528,264
1,705,414
Arts, Entertainment, and Recreation
122,089
106,357
1,341,733
1,463,822
Educational Services
88,826
70,210
710,383
799,209
Information
73,028
63,321
328,995
402,023
Mining, Quarrying, and Oil and Gas Extraction
21,657
18,157
98,134
119,791
Agriculture, Forestry, and Fishing and Hunting
21,584
20,212
236,094
257,678
Utilities
5,706
4,493
19,968
25,674
Total
5,881,267
5,265,682
24,331,403
30,212,670
Figure 4 and Tables 1 and 2 display data from the 2015 SUSB. Table 2 includes additional data from the 2015 Nonemployer Statistics (NES). Data for
counties shown in white in Figure 4 were withheld by the Census Bureau because they do not meet publication standards or could disclose information
regarding individual businesses.
REFERENCES
The Small Business Profiles, source data, and methodology are available at https://go.usa.gov/xQT4w.
ASE
Annual Survey of Entrepreneurs, US Census Bureau
BEA
Bureau of Economic Analysis, US Department of Commerce
BDM
Business Employment Dynamics, BLS
BLS
Bureau of Labor Statistics, US Department of Labor
CPS
Current Population Survey, BLS
FDIC
Call Reports, Federal Deposit Insurance Corporation
FFIEC Federal Financial Institutions Examination Council
ITA
International Trade Administration, US Department of Commerce
NES
Nonemployer Statistics, US Census Bureau
SBO
Survey of Business Owners, US Census Bureau
SUSB Statistics of US Businesses, US Census Bureau
SBA Office of Advocacy
4
United States Small Business Profile, 2018