Census Bureau Data Tell the Small Business Story
The smallest possible businesses, nonemployer establishments (those with no paid employees), accounted for 78.4% of all U.S. establishments in 2023, and brought in nearly $1.8 trillion in revenue that year — proof of the power of small business in America’s economy.
The Small Business Administration (SBA) defines a small business as an independent business with fewer than 500 employees and has celebrated Small Business Week every May since 1963 to recognize U.S. entrepreneurs and small business owners.
The U.S. Census Bureau plays a part too, tracking key data points and resources to provide a rich profile of the nation’s small businesses.
There were 5.58 million U.S. firms that had at least one employee but fewer than 500 employees in 2023, up from 5.53 million in 2022.
The SBA is set to host events across the country during Small Business Week – May 3 to May 9, 2026 – including a free virtual summit for aspiring entrepreneurs and small business owners, and in-person sessions on a variety of business topics. Additionally, a recently recorded Census webinar on Creating a Data-Driven Business Plan is available on demand here.
The Nation’s Small Business Landscape
The Census Bureau publishes a variety of data and resources about the nation’s small businesses.
There were 5.58 million U.S. firms that had at least one employee but fewer than 500 employees in 2023, up from 5.53 million in 2022, according to the annual Business Dynamics Statistics (Figure 1).
An establishment is a single physical location of a business. A firm is a business organization consisting of one or more establishments under the same owner.
In addition to these small employer businesses (those with at least one paid employee), there are many self-employed U.S. entrepreneurs who run nonemployer businesses.
In 2023, there were 30,427,808 nonemployer establishments, up from 29,811,495 in 2022 – and they brought in nearly $1.8 trillion (6.4% of the Gross Domestic Product or GDP in 2023) in total revenue, according to Nonemployer Statistics (NES). Nonemployer businesses operate in all sectors of the economy like retail, manufacturing and services.
Women-Owned Employer Businesses
The number of employer businesses owned by women jumped nearly 20% (from 1,134,549 to 1,356,990) between 2017 and 2023, according to the 2024 Annual Business Survey (ABS), which reported 2023 data.
Of those businesses, the number owned by veterans and minorities also went up. Between 2017 and 2023 (Note: Minority-owned firms are classified as any race and ethnicity combination other than non-Hispanic and White):
- The number of female veteran-owned employer firms grew 25.7%.
- The number of minority women-owned employer firms grew 49.8%.
How to Start or Expand Your Small Business
Interested in starting a small business?
Use the Census Bureau webpage to find data tools and free training opportunities. Among them:
- Small Business resource page. Helps businesses identify their customer needs and tap into new markets.
- Census Business Builder (CBB). A suite of services to help entrepreneurs examine competitors and the best location(s) to start their businesses. Small businesses can use the CBB to craft their own business plans.
- Data User Guidance: Purposes and Uses of Economic Census Statistics. Provides key examples of how small businesses can use census data and tools for business planning.
- Webinars. The Census Bureau hosts a variety of talks on business-related subjects, like last year’s webinar on Building a Better Business Plan Using Free Census Data.