If you’re considering launching your own small business in 2024, I commend you. Turning your dream into reality can be challenging but it’s entirely possible. If you are already a small business owner or are considering making the leap, learning about current trends is an essential key to success.
Check out these small business statistics in 2024 to transform your vision into success.
Small Business Statistics – General
- In the U.K. at the start of 2018, there were 5.6 million small businesses registered
- Compared to 2017, the private sector business population decreased by 0.5%
- Compared to 2017, the private sector employment increased by 2%
- Around 99% of U.S. employers are small business owners
- Over half a million (543,000) new businesses are started each month
- In the U.S. it takes an average of 6 days to start a new business. In China this is recorded at around 38 days
Small Business Statistics (U.K.) – Business Size
- Medium-sized businesses account for only 0.6% of business in the U.K.
- 99.3% of all businesses in the U.K. are classed as small businesses (fewer than 50 employees)
- Micro-businesses (0-9 employees) account for 96% of all private sector companies in the U.K.
- Less than 4% are small businesses (10-49 employees)
- There are more companies without any employees in the U.K. than the total number of business (82% compared to 25% of companies)
Small Business Statistics (U.K.) – Location
- London has the highest ration of small businesses. This is calculated using the number of businesses per 10,000 adult residents. There are 1563 businesses for every 10,000 adult residents in London
- The U.K. has 1059 businesses per 10,000 residents
- Regions which exceed the U.K. average include South East, South West and East of England
- The West Midlands has a growth of 9% during the last year followed shortly by Yorkshire & Humber (7%)
- The U.K. has an average annual growth of businesses at around 4%
Small Business Statistics – Entrepreneurs
- The main reason why people wanted to start their own business was to be their own boss. People are starting to ditch the 9-5 tradition and work for themselves
- Over half (53%) of small business owners would rank their happiness at 9
- 1/3 of small business owners say they feel very confident about the future of their business
- 42% of self-employed people say they are not planning for their retirement
- 73% of small business owners are males
- Over 20 years, between 1997 and 2017, female entrepreneurs grew by 114%
- 95% of entrepreneurs claim to have a Bachelor’s Degree
- 82% of entrepreneurs startup funds are provided by the business owner or family/friends
- Entrepreneurs who are home owners are 10% more likely to start a business compared to those who don’t own a home
- 64% of small business get off the ground with less than £7,935 startup funds
- The average income of small businesses is £46,800
Small Business Statistics – Pros & Cons
- 50% of new small businesses fail within the first five years of starting
- New business startups have a success rate of 37% during the first four years
- The toughest challenge for small businesses in the U.S. is generating new business in the first place
- 14% of small businesses fail because they don’t respond or communicate with their customers
- 74% of tech small businesses fail because they scale too quickly and don’t have the funds to maintain this
- 60% of small businesses close within 6 months after being hacked
- 43% of all cyber attacks target small businesses