Small Business: The Engine that Drives America’s Economy
There is nothing “small” about how small businesses impact our economy. They are the lifeblood and backbone, contributing to the overall health of our communities. They champion growth by stimulating employment opportunities, attracting new talent, new products and business solutions, and embracing innovation. While these small but fierce companies often face tough decisions from every direction, their perseverance, tenacity and dedication are often a key formula for ensuring passionately loyal customers and business longevity, even during an economic crisis.
Local success stories such as Nike, Columbia Sportswear, Microsoft, and Ben & Jerry’s, which started as small local businesses with humble beginnings, have become powerful household brand names, woven into the very fiber of our local and national economies.
The data below illustrates the fierce Small Business spirit.
- Represent more than 99.7% of all U.S. employers.
- Employ half of all private-sector workers; 39% in high-tech positions.
- Pay 44% of U.S. private payroll.
- 71% of Americans say, “a positive influence on the U.S., respected more favorably than corporations.”
- Trusted by 86% of Americans, nearly 30% more than corporations.
- Employ 120 million workers; 50% (2 in 3) of all workers; 39% of all high-tech workers.
- Provide 60-80% of net new U.S. jobs annually.
- Half million small businesses created in 2010 from corporate layoffs, bad economy.
- 52% home-based. 19.4 million sole proprietorships, 1.6 million partnerships.
- Since 1990, they added 8 million jobs. Corporations eliminated 4 million jobs.
- Produce 13-14 times more patents, per employee, than corporations.
- 3% are franchised, approximately 600,000 businesses.
- Sales account for 53% retail, 47% wholesale, 25% manufacturing, 97% of U.S. exporters.
- Occupy 30-50% of all commercial space, estimate of 20-34 billion square feet.
- Start-ups increased 49% since 1982.
- $6 trillion GDP, equaling 50% of private (nonfarm) gross domestic product.
- Contribute nearly $1 trillion to our local economies… every year.
At ABI, we applaud small businesses! We strive to help small businesses find the ideal insurance coverage they need, not only to grow, but to thrive in our ever changing economy. Contact us today.