The American economy has recently observed a significant increase in small businesses, with around 33.3 million of them contributing to 99% of all US businesses, according to Forbes.
This surge shows a resilient and thriving financial landscape, creating approximately 1.5 million jobs annually and accounting for 64% of new jobs in the US.
Despite often lacking extensive staff, these businesses play an indispensable role in the economy, providing jobs to 61.6 million people or 45.9% of the US workforce.
Sectors such as home healthcare, personal care and technology are observing strong growth. Technological advancements in particular have greatly reduced startup costs benefiting new entrepreneurs.
This has led to a rise in startups and overall economic development. Sectors like education and entertainment have also seen growth due to online platforms and digitalization.
Among these US small businesses, 80% are self-operated with no employees, accounting for 27.1 million businesses run by an individual. Only a small percentage actually maintain a staff of one to 499.
Driven by progress in technology and a desire for independence, entrepreneurship is gaining momentum in the small business sector. Innovations and creative problem-solving are the ways forward, aided by digital platforms which simplify the starting and running a business.
Companies such as SAP SE, Salesforce, Inc., and Amazon.com, offer software aimed at helping businesses thrive. These tools streamline workflow, enhance effective communication and improve data analytics–driving business efficiency, productivity, and growth.
