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Small businesses, defined as companies with 500 or fewer employees, play an important role inAmerican economy. They employ 57% of the private workforce and create 60% to 80% all new jobs in the country.
However, there are some shocking facts about them you may not have known before.
For example, small businesses pay 44% of U.S. payroll, or only 50% of small businesses survive five years.
Before reading the facts, let's remember what former Apple CEO Steve Jobs said when he explained the rules for successes. “You need a lot of passion for what you're doing because it's very hard…Without passion, any rational person would give up.”
The United States has 28 million small businesses that outnumber corporations 1162 to 1
Small businesses employ 57% of America’s private workforce, 70% of them are owned and operated by single persons
Small businesses pay 44% of U.S. payroll
Northwestern states including Montana and Wyoming depend more heavily on small businesses
Starting a business in the US needs just six days in comparison with a whooping 38 days in China, followed by India with 30 days and UK and Ireland with 13 days
Starting a business in India costs 6x more than that in the US
Only 50% of small businesses survive five years
Immigrants account for 12.5% of small business owners nationwide
A small business probably won't survive of it can't resume operations within 10 days after a natural disaster
Small businesses create 13x more patents per employee than large patenting companies
A small business in the US went bankrupt every 8 minutes in 2009
Only 2% of small businesses are franchises, and most (54%) are home-based
60 to 80% of all new jobs come from small businesses
The 77 million joining the US small business workforce would rank as the world’s 17th most populous country, just ahead of Iran
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