Quote from OccupyThis:
That link pretty just dispelled every liberal claim about small business I've ever heard.
I am surprised the libs allow it on the net. Expect it to be cleansed.
Here it will be for posterity.
1. What is a small business?
The Offce of Advocacy defines a small business as an independent business having fewer than 500 employees. (The definition of "small business" used in government programs and contracting varies by industry; see
www.sba.gov/size.)
2. How important are small businesses to the U.S. economy?
Small firms:
⢠Represent 99.7 percent of all employer firms.
⢠Employ half of all private sector employees.
⢠Pay 44 percent of total U.S. private payroll.
⢠Generated 65 percent of net new jobs over the past 17 years.
⢠Create more than half of the nonfarm private GDP.
⢠Hire 43 percent of high tech workers ( scientists, engineers, computer programmers, and others).
⢠Are 52 percent home-based and 2 percent franchises.
⢠Made up 97.5 percent of all identified exporters and produced 31 percent of export value in FY 2008.
⢠Produce 13 times more patents per employee than large patenting firms.
Source: U.S. Dept. of Commerce, Census Bureau and Intl. Trade Admin.; Advocacy-funded research by Kathryn Kobe, 2007 (
www.sba.gov/advo/research/rs299.pdf) and CHI Research, 2003 (
www.sba.gov/advo/research/rs225.pdf);U.S. Dept. of Labor, Bureau of Labor Statistics.
3. How many small businesses are there?
In 2009,there were 27.5 million businesses in the United States, according to Office of Advocacy estimates.The lastest available Census data show that there were 6.0 million firms with employees in 2007 and 21.4 million without employees in 2008. Small firms with fewer than 500 employees represent 99.9 percent of the total ( employers and nonemployers), as the most recent data show there were about 18,311 large businesses in 2007.
Source:Office of Advocacy estimates based on data from the U.S. Dept. of Commerce, Census Bureau, and trends from the U.S. Dept. of Labor, Bureau of Labour Statistics, Business Employment Dynamics.
4. What is small firmsâ share of employment?
Small businesses employ about half of U.S. workers. Of 120.6 million nonfarm private sector workers in 2007, small firms employed 59.9 million and large firms employed 60.7 million.About half of small firm employment is in second-stage companies (10-99 employees), and half is in firms that are 15 years or older. Small firmsâ share of employment in rural areas is slightly higher that in urban areas; their share of part-time workers (22 percent) is similar to large firmsâ share (19 percent). Small firmsâ employment share remains steady since some small firms grow into large firms over time.
Source:U.S.Dept. of Commerce, Census Bureau: Statistics of U.S. Businesses, Current Population Survey and Business Dynamics Statistics; and the Edward Lowe Foundation (
http://youreconomy.org).
5. What share of net new jobs do small businesses create?
Small firms accounted for 65 percent (or 9.8 million) of the 15 million net new jobs created between 1993 and 2009.
Much of the job growth is from fast-growing high-impact firms, which represents about 5-6 percent of all firms and are on average 25 years old.
Source: U.S. Dept. of Labor, Bureau of Labor Statistics, Business Employment Dynamics; Advocacy-funded research by Zoltan Acs, William Parsons and Spencer Tracy, 2008 (
www.sba.gov/advo/research/rs328.pdf)
6. How many businesses open and close each year?
An estimated 552,600 new employer firms opened for business in 2009, and 660,900 firms closed.This amounts to an annual turnover of about 10 percent. Nonemployer firms have turnover rates three times as high, mostly because it is much easier for them to go into business and cease operations.
Starts and Closures of Employer Firms, 2005-2009
Category 2005 2006 2007 2008 2009
Births 644,122 670,058 668,395 626,400e 552,600e
Closures 565,745 599,333 592,410 663,900e 660,900e
Bankruptcies 39,201 19,695 28,322 43,546 60,837
Notes: e = Advocacy estimate.Bankruptcies include nonemployer firms.
Source: U.S. Dept. of Commerce, Census Bureau; Administrative Office of the U.S. Courts; U.S. Dept. of Labor, Business Employment Dynamics (BED). Estimates based on Census data and BED trends.
7. What is the survival rate for new firms?
Seven out of 10 new employer firms survive at least 2 years, half at least 5 years, a third at least 10 years, and a quarter stay in business 15 years or more. Census data report that 69 percent of new employer establishments born to new firms in 2000 survived at least 2 years, and 51 percent survived 5 or more years. Survival rates were similar across states and major industries. Bureau of Labour Statistics data on establishment age show that 49 percent of establishments survive 5 years or more; 34 percent survive 10 years or more; and 26 percent survive 15 years or more.
Source: U.S Dept. of Commerce, Census Bureau, Business Dynamics Statistics; U.S. Dept of Labour, Bureau of Labor Statistics, BED.
.
8. How are credit conditions for small firms?
Credit conditions are improving. In mid-2010, commercial banks began to ease the tight lending conditions on small businesses that had begun in early 2007. And credit has con_tinued to flow, as loans under $1 million totalled $695 billion in FY 2009. Also, after declining over the past few years, ven_ture capital investment dollars increased in mid-2010.
Source: Federal Reserve Board, Senior Loan Officer Opinion Survey and Call Report data; National Venture Capital Association.
