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New report analyzes Vermont’s small business
WASHINGTON -- Small businesses significantly impact Vermont’s economy, employing 157,720 workers in 2010 with most of the employment coming from firms with 20 – 499 employees, according to a new state-by-state report released Feb. 14 by the U.S. Small Business Administration Office of Advocacy.
The Small Business Profile for the States and Territories, an annual analysis of each state’s small businesses, also finds self-employment in Vermont improved over the last decade, while minority self-employment saw the largest growth. All in all, Vermont’s 77,853 small businesses represent 96.3 percent of all employers, and they employ 59.7 percent of the private-sector labor force. Nationwide, there are 27.8 million small businesses representing 99.7 percent of all employers and employing nearly half – 49.1 percent – of the private-sector labor force.
“Like many states across the nation, small businesses are helping to strengthen the economy in Vermont,” said Dr. Winslow Sargeant, Chief Counsel for Advocacy. “Most of the country’s small businesses continue to be very small, having fewer than 20 employees, but they paint a big picture of a recovering America. Advocacy’s analysis gives us a clear understanding of just how important small businesses are in Vermont.”
Vermont’s small business profile contains detailed information about the number and type of businesses in the state, business owner demographics, industrial makeup, business turnover and income and finance. Most data are also presented in comparison with similar data over time. Each state’s small business profile can be read or downloaded by visiting the Office of Advocacy’s website at www.sba.gov/advocacy/848.
Highlights of the Vermont small business profile include:
-Vermont’s economy was strong in 2011, with real gross state product increasing 2.5 percent and private-sector employment increasing 1.4 percent.
-The state’s unemployment rate decreased by 0.8 percent in 2011.
-During the midst of the economic recession, the employment situation from 2007-2010 was strong, yet small businesses in Vermont had a net job loss.
-Small businesses in Vermont employed 157,720 workers in 2010, with most of the employment coming from firms with 20 – 499 employees.
-Most of the state’s small businesses are very small as 76.3 percent of all businesses have no employees, and most employers have fewer than 20 employees.
-In 2011, the number of opening establishments was lower than closing establishments, resulting in a negative change in net employment.
-Self-employment in Vermont improved over the last decade by 3.1 percent.
-Minority self-employment saw the largest growth in Vermont over the last decade.
-The Office of Advocacy is an independent voice for small business and advances the views and concerns of small business within the federal government.
For more information, call 202-205-6533 or visit www.sba.gov/advocacy.