How Many Small-Business Employees Are Out There?

A 1 Person Busines is Business

I disagree with Bryan of MI who says that has a sole-proprietor working for himself with no employee isn't contributing anything to the employment pool. Yes, he is. If he weren't self-employed, he would have to be working a job to make money to pay his way. By him being self-employed the job he would have "taken" is able to go to a person who is not self-employed. To me that is a form of contribution.

Also, by being self-employed he's working and not potentially unemployed and potentially collecting unemployment. This is another way he's contributing to the employment pool (of sorts).

Really Bryan, you should give yourself more credit.

Theresa of CA @ Oct 06, 2009 22:07:21 PM

How many sole proprieters

According to US Bureau of Labor Statistics, there are about 16 million self-employed people in America and is an important source of jobs and family income.

Steve King of CA @ Jul 31, 2009 11:55:38 AM

Is a Sole Proprietorship a Small Business?

I wonder how many "small businesses" are actually "sole proprietorships" -- people who work by themselves, for themselves? These sole proprietorships don't employ anyone other than themselves. They create 1 job only -- and if the business is a side-line (supported by a full-time employment elsewhere), they add nothing to the employment picture.

This is not to say sole proprietorships are bad -- I am one as well (full-time). I don't contribute to the employment model, other than to earn income for myself.

I'm just trying to find out the reality behind the claim that "small businesses are the backbone of America" and "small businesses create more jobs than anyone else". As you point out, the number is somewhere between 43-51%, and that's using a pretty big number (500 employees) to define a small business.

Most politicians advocating for "small business" conjure up pictures of Mom & Pop running a small store, with their kids and their kids' friends helping out. But 500 kids!?! Not really the same picture.

Bryan of MI @ Jul 27, 2009 06:47:49 AM

We have no Capitalism anymore in USA - it's So Monopolism now

During past 10-15 years of "global economic" reform and "free trade" our Feds and financial clans have been successfully working on conversion of our system into monopolistic body with socialistic engine. They wanted to give birth to an ugly mutant and they did it. I call the new system Mastrubism, or you give it your name. It's partly socialism due to high spending on people at the bottom and free huge money for selected by government leading giants/companies in their industries. This reminds me Soviet Union/USSR a lot. We used to have full government control of all industries starting with manufacturing, then distribution to warehouses and ending with large government controlled chains of small and large stores/retailers. That basically what's going on now slowly but surely here in USA. Government taking over large giants by borrowing them fresh printed money which costs government almost nothing. This is hidden type of step-by-step privatization of these formerly privately own chains. This is why government was demolishing our normal capitalistic economy starting from 1970 by almost uncontrolled import of import cars and other products and making local manufacturers go out of business. It started with manufacturers, then professionals such as programmers and engineers in 2000 and up. Then the most deadly hit was introducing and empowering by credits and patronage "small business killer chains" like Walmart, Kmart, HomeDepot, Lowe's, Staples, Target, BestBuy, Sears, Marshals, Liquidator, Ikea, etc. They all say to us "Save More, Live Better" or "More Saving, More Doing". Oh yes! However what they not telling us, that we eventually will close most of our small businesses operated by us, our family members, friends, neighbors, etc. Who will benefit from buying from these stores? Mostly people in need who are on government assistance, people with stable jobs with stable companies, government employees, and similar individuals. If you have more money then you can spend per month you will survive without going to this kind of large stores which are basically working for government now. The goal here is to socialize the retail industry by slowly and surely killing small independent retailers with "price beating"/ "wholesale to public" concepts and tools. Who is wining here? Nobody, but government and its direct investors/clans. What it does to our Capitalism and USA market? It kills it. The first rule of Capitalism is to protect small businesses and local manufacturers from monopolists in their industries. There are has to be no blood sucking giants, if we want to preserve healthy capitalism and its creative spirit. Government was created to protect small businesses from giant monopolies and uncontrolled imports. It failed to do so and sold its soul to clans. Every smart and talented small business owner knows that it's impossible to fight a wholesale to public giant, and most of businesses give up to fight or just not being given new births anymore.

AC of NY @ Jul 19, 2009 04:34:16 AM