Hundreds of thousands of US Small Companies Have These Issues in Widespread

One week earlier than Nationwide Small Enterprise Week, a brand new examine examines some stunning issues that the tens of millions of small companies throughout the U.S. have in widespread.

A Pew Analysis Middle Survey launched Monday delved into Census Bureau information factors related to 33 million small companies throughout the U.S. The examine outlined “small enterprise” as a agency with lower than 500 staff, with not less than one location.

Within the report, small companies overwhelmingly shared one main commonality: they hardly ever had workers. In actual fact, 27 million, or about 82%, didn’t have any staff, and about 3 million companies with workers solely had one to 4 individuals on their payroll.

Nonetheless, small companies employed 56.4 million individuals in 2021 and achieved greater than $16.2 trillion in income. Bigger companies with greater than 100 workers scored larger items of the income pie, although they made up lower than 1% of the general image.

Associated: The way to Go From Aspect Hustle to 7-Determine Enterprise and Past, Based on 3 Girls Who Did It

Additionally, most small companies should not mom-and-pop retailers, based on the survey. One in 10 companies within the U.S. had been equally owned and operated by spouses, and simply 27% had been family-owned total.

It is also not normally franchises. Nearly all of small companies (95%) reported that they didn’t totally or partially function as a franchise.

A majority of the companies surveyed, virtually three in 5, have been working for not less than six years, and 15% had been operational for over 1 / 4 of a century.

Associated: They Designed One Easy Product With a ‘Give attention to Human Well being’ — and Made $40 Million Final 12 months

Small companies additionally share a constructive public notion. Most Individuals (86%) indicated that small companies positively impression the nation in a separate Pew Analysis survey performed in January. In distinction, solely 53% thought positively about tech corporations and faculties.

A Fixed Contact survey launched Monday presents a world image, displaying that over 80% of the 1,300 small companies surveyed within the U.S., Australia, the U.Okay., and Canada expressed concern about how the financial local weather will have an effect on their enterprise this yr.

Pew Analysis stories that the variety of U.S. enterprise functions has trending up, with virtually 1.8 million functions filed final yr.