Small-Business Statistics in the United States
Published September 15, 2026 · StatsGalore
Small businesses reported in the SBA's 2026 FAQ compilation [1]
The Small Business Administration's Office of Advocacy reports 36,207,130 U.S. small businesses in its 2026 FAQ compilation. It also reports 62.3 million people employed by small businesses, representing 45.9% of private-sector employment. These measures describe different aspects of the small-business economy. [1]
The numbers
| Measure | Reported figure | Source |
|---|---|---|
| Number of small businesses | 36,207,130 | [1] |
| Small businesses as a share of firms | 99.9% | [1] |
| People employed by small businesses | 62.3 million | [1] |
| Share of private-sector employees | 45.9% | [1] |
The number of businesses is not the number of jobs
Each business counts as a business regardless of whether it has a very small workforce or many employees. Employment counts weight businesses by the workers they employ. A category can therefore dominate the business count without employing nearly all workers.
This distinction helps explain the large gap between the share of firms classified as small and their share of private-sector employment. The percentages use different denominators and should never be substituted for one another.
[1]A report year is not a single measurement year
The FAQ is a compilation of statistical sources. Its publication year identifies the edition of the report; it does not mean every underlying business count or employment estimate was collected during that year.
When quoting a figure, preserve both the report edition and the relevant source notes. A claim that there were precisely this many businesses on a particular day would go beyond the information in the compilation.
[1]Why the definition of small matters
Small-business statistics depend on the threshold and source being used. A statistical summary and a program's eligibility rules may serve different purposes. The figures here should be interpreted within the Office of Advocacy report's definitions.
The total is not a list of local storefronts, newly launched firms, or businesses currently seeking customers. It is a broad national measure. Narrower questions about a particular industry, location, or business age require a matching breakdown.
[1]What these figures cannot establish
A large number of small firms does not reveal their profitability, survival prospects, or owners' incomes. Business counts and employment totals are useful measures of scale, but they do not measure financial health.
The employment share concerns the private sector. Applying it to all workers, including government employment, would change the denominator and misstate the source. Comparisons with other business reports should first check coverage and reference years.
[1]Sources & notes
Source: SBA Office of Advocacy, Frequently Asked Questions About Small Business 2026. Figures are presented as reported in that compilation; its underlying datasets have different reference years. The firm-share figure and employment-share figure have different denominators.
Source review: 2026-09-15. Article publication and underlying data dates are separate. How we use statistics · Suggest a correction