Small businesses are key to the economy.

Big tech companies and large corporations tend to steal the spotlight, however, small businesses are the backbone of the American economy. According to recent data, not only are the majority of jobs in the U.S. created by small businesses, but they are also a major source of innovation, economic growth, and national prosperity. But the top small business statistics for 2022 do more than unveil insights on what works and what doesn’t. They shed light on the direction of the future—vital information for those looking to start and run a business.

Small Business Employment Statistics

1. 99.9% of businesses across the US are small businesses

Though the nation’s largest corporations get the spotlight, according to the U.S. Small Business Administration the reality is that the vast majority of businesses in the U.S. are small businesses. In fact, there are an astounding 33.2 million small businesses[1] across America.

2. Nearly half of all U.S. employees are employed by a small business

Yet, despite the fact that over 80% of small businesses have no employees, small businesses employ 61.7 million workers. That’s 46.4% of all US employees[1] —a large percentage of employees when less than 20% of small businesses even have employees at all. This shows just how vital the growth of small businesses is in a nation that depends so heavily on them for employment and with that, survival.

3. Over 8 out of 10 small businesses have no employees

According to the aforementioned data, out of the 33.2 million small businesses, 27.1 million are run by a single owner and have no employees.

4. Just 16% of small businesses have 1-19 employees

While most small businesses have no employees at all, 16% of small businesses have between one and 19 employees. And out of the 33.2 million small businesses, only 650,003 small businesses have between 20 and 499 employees.

Small Business Job Creation

5. Small businesses have added over 12.9 million jobs in the last 25 years

Though the average small business is operated by a solo founder, small businesses still provide a vast amount of employment opportunities within the U.S. Over the past 25 years, small businesses have generated nearly 13 million net new jobs.[1] For perspective, that’s about two-thirds of the jobs added to the economy.