Small businesses account for 99.9% of US firms, and about 20% of new businesses fail within their first two years. Globally, entrepreneurs reached over 582 million as new ventures keep launching across markets. These Basic Business statistics break down how formation, funding, and cash flow shape outcomes country by country and industry by industry.
Key Takeaways
- In 2023, there were approximately 33.2 million small businesses in the United States, employing nearly 62 million people
- Globally, there are over 582 million entrepreneurs starting or running new businesses as of 2023
- 20% of new businesses in the US fail during the first two years of operation according to 2023 data
- 33% of startups fail due to founder disagreements
- 90% of startups fail within first 10 years globally
- US venture-backed startups raised $170 billion in 2023
- Global small business revenue reached $5.2 trillion in 2023
- US small businesses generated 44% of US economic activity in 2022
- Average small business profit margin is 10% in retail sector 2023
- 90% of small businesses have 10 or fewer employees in 2023
- Global employee turnover rate averages 18% in 2023
- 77% of job seekers use LinkedIn in 2023
- Average marketing budget for small businesses is 7-8% of revenue in 2023
- 93% of small businesses use social media for marketing in 2023
- Email marketing delivers $42 ROI per $1 spent in 2023
Small businesses drive US jobs, yet 20 percent fail in two years as global entrepreneurship keeps rising.
Related reading
01 · Category
Business Formation30 stats
01
In 2023, there were approximately 33.2 million small businesses in the United States, employing nearly 62 million people
02
Globally, there are over 582 million entrepreneurs starting or running new businesses as of 2023
03
20% of new businesses in the US fail during the first two years of operation according to 2023 data
04
In 2022, India had 63,647 new business registrations under the Ministry of Corporate Affairs
05
The number of startups in Europe reached 5.6 million in 2023
06
55% of US adults have considered starting a business in the past 12 months as per 2023 survey
07
In 2023, China registered 10.5 million new market entities
08
UK saw 908,000 new businesses incorporated in 2022/23
09
4.7 million new businesses were created in Brazil in 2022
10
Women-owned businesses in the US grew to 12.3 million in 2023, representing 42% of all businesses
11
30% of new US businesses are founded by immigrants
12
In 2023, Nigeria had over 1.5 million new business name registrations
13
Australia recorded 372,000 new business entries in 2022-23
14
25% of global businesses are family-owned, employing 60% of the workforce
15
South Africa registered 175,000 new companies in 2022/23
16
In 2023, 1.2 million new enterprises were born in France
17
US business applications surged to 5.5 million in 2023
18
40% of new businesses in Germany are in the service sector as of 2023
19
Mexico saw 1.1 million new business incorporations in 2022
20
15% of Canadian new businesses are tech startups in 2023
21
Japan had 132,000 new corporate establishments in 2022
22
35% of new US businesses are home-based in 2023
23
Indonesia registered 3.2 million new businesses in 2023
24
28% growth in new businesses in the UAE from 2022 to 2023
25
Turkey incorporated 120,000 new companies in 2023
26
50% of new Argentine businesses are micro-enterprises in 2022
27
Singapore had 35,000 new business entities in 2023
28
22% of new Spanish businesses survive past 5 years
29
Vietnam registered 160,000 new enterprises in 2023
30
45% of new Thai businesses are in e-commerce sector in 2023
Interpretation
Business Formation Interpretation
The world is a veritable engine of entrepreneurial hope, churning out millions of new ventures from garages to corporate suites, even as the sobering reality that many will fail underscores the breathtaking courage and relentless optimism required to simply hit 'start'.
02 · Category
Entrepreneurship24 stats
01
33% of startups fail due to founder disagreements
02
90% of startups fail within first 10 years globally
03
US venture-backed startups raised $170 billion in 2023
04
69% of entrepreneurs start businesses due to independence
05
Bootstrapped startups 82% of all small businesses
06
Average age of successful startup founder is 45 years
07
Women entrepreneurs received 2.3% of VC funding in 2023
08
Serial entrepreneurs 30% more likely to succeed
09
75% of venture deals go to repeat founders
10
Global unicorn count reached 1,200 in 2023
11
52% of entrepreneurs have college degrees
12
Incubators/accelerators boost survival 20%
13
40% of new businesses are opportunity-driven
14
Black entrepreneurs 8% of US but 2% VC funding 2023
15
Crowdfunding raised $34 billion globally 2023
16
25% of startups pivot within first year
17
Entrepreneur failure rate drops 20% with mentors
18
Asia-Pacific startups 45% of global total 2023
19
60% of founders work 50+ hours weekly
20
Family business startups 70% of global enterprises
21
AI startups captured 20% of VC in 2023
22
35% of entrepreneurs are immigrants in US
23
Exit success rate 1 in 10 startups acquired
24
Business plan increases funding odds 16%
Interpretation
Entrepreneurship Interpretation
The startup landscape is a paradoxical theater where seasoned founders chasing independence work themselves ragged for a one-in-ten chance at victory, all while venture capital, despite its staggering sums, often overlooks women, Black entrepreneurs, and new faces in favor of betting on familiar ones and the latest AI trend.
03 · Category
Financial Performance29 stats
01
Global small business revenue reached $5.2 trillion in 2023
02
US small businesses generated 44% of US economic activity in 2022
03
Average small business profit margin is 10% in retail sector 2023
04
82% of small businesses failed due to cash flow problems in 2023 survey
05
Global venture capital investment hit $345 billion in 2023
06
US corporate profits after tax reached $2.8 trillion in Q4 2023
07
30% of small businesses increased revenue by 20% or more in 2023
08
Average startup funding raised was $1.3 million in 2023
09
UK SMEs contributed £2.4 trillion to economy in 2023 (60% of total)
10
Inflation impacted 89% of small businesses' costs in 2023
11
Global business debt reached $100 trillion in 2023
12
62% of US small businesses plan to seek financing in 2024
13
Average ROI for small business investments is 7-10% annually
14
China's private enterprises contributed 60% of GDP in 2023
15
45% of small businesses have no emergency savings in 2023
16
European SMEs accounted for 99% of businesses and 56% of value added in 2022
17
Average small business loan interest rate was 7.5% in 2023 US
18
70% of small businesses experienced revenue growth in 2023
19
Global fintech funding dropped 48% to $114 billion in 2023
20
US business bankruptcy filings rose 18% to 22,500 in 2023
21
25% average profit margin for software businesses in 2023
22
SMEs in India contributed 30% to GDP and 45% to exports in 2023
23
55% of small businesses raised prices due to costs in 2023
24
Average business valuation multiple is 4.8x EBITDA for small firms 2023
25
40% of startups achieve profitability within 2 years
26
Australia SMEs generated AUD 1 trillion in revenue 2023
27
65% of small businesses use credit cards for funding in 2023
28
Global M&A deal value was $3.1 trillion in 2023
29
75% of small business owners are optimistic about 2024 finances
Interpretation
Financial Performance Interpretation
This vibrant economic landscape reveals a stark duality: while small businesses globally generate trillions and drive national economies, their foundational reality is a precarious tightrope walk between impressive revenue generation and the ever-present threat of failure due to cash flow, debt, and a single-digit average profit margin.
More related reading
04 · Category
Human Resources30 stats
01
90% of small businesses have 10 or fewer employees in 2023
02
Global employee turnover rate averages 18% in 2023
03
77% of job seekers use LinkedIn in 2023
04
Average time to hire is 42 days for US businesses in 2023
05
41% of employees prefer hybrid work models in 2023 survey
06
Diversity training reduces bias by 26% per 2023 studies
07
60% of HR budgets allocated to tech in 2023
08
Employee engagement averages 23% globally in 2023
09
85% of jobs unfilled due to skills gap in 2023
10
Remote work productivity up 4.8% per 2023 analysis
11
52% of workers burned out in 2023
12
Average salary increase 4.5% in 2023 globally
13
70% of employees say training boosts retention
14
Gig economy workers 36% of US workforce in 2023
15
94% of HR leaders prioritize mental health in 2023
16
Women hold 27% of STEM management roles in 2023
17
65% of businesses use AI in recruitment 2023
18
Voluntary turnover costs 1.5-2x salary per employee
19
80% of employees want career development opportunities
20
Global HR tech market $42 billion in 2023
21
50% of Gen Z prioritize work-life balance in job choice 2023
22
Performance reviews boost productivity 14%
23
75% of HR uses data analytics for decisions in 2023
24
Union membership 10.1% in US private sector 2023
25
Flexible hours improve retention by 50%
26
68% of employees disengaged due to poor managers
27
DEI programs increase innovation 19%
28
Average onboarding time 3 months for new hires 2023
29
55% of workers want upskilling for AI era
30
Employee referral hiring success rate 46%
Interpretation
Human Resources Interpretation
Businesses are desperately juggling high turnover, widespread burnout, and a glaring skills gap, all while trying to bribe a hybrid-preferring, LinkedIn-scrolling workforce with flexible hours, a sliver more pay, and the hopeful promise of AI, just to keep the lights on and innovation barely ticking over.
05 · Category
Marketing30 stats
01
Average marketing budget for small businesses is 7-8% of revenue in 2023
02
93% of small businesses use social media for marketing in 2023
03
Email marketing delivers $42ROI per $1 spent in 2023
04
81% of shoppers are influenced by social media before purchase
05
Content marketing generates 3x more leads than traditional at 62% less cost
06
70% of consumers discover brands via social media in 2023
07
SEO leads have 14.6% close rate vs 1.7% for outbound
08
61% of global marketers prioritize SEO in 2023
09
Influencer marketing grew 18% to $21.1 billion in 2023
10
50% of B2B buyers use LinkedIn for research
11
Video content gets 1200% more shares than text/image combined
12
88% of marketers use email newsletters in 2023
13
PPC advertising ROI averages $2per $1 spent
14
73% of marketers use TikTok for business in 2023
15
User-generated content influences 79% of consumers
16
64% of small businesses saw increased traffic from mobile in 2023
17
Affiliate marketing spend reached $15.7 billion in US 2023
18
90% of customers value authenticity in brand content
19
LinkedIn posts get 2x engagement with images
20
55% of consumers willing to pay more for personalized experience
21
Instagram shopping conversion rate averages 1.08% in 2023
22
71% of B2B researchers start with search engine
23
Retargeting ads recover 70% of abandoned carts
24
48% of marketers use AI for content creation in 2023
25
Facebook ad click-through rate is 0.89% average
26
80% of businesses use Facebook for marketing
27
Voice search will be 50% of searches by 2025, impacting 2023 strategies
28
75% of Google searches have zero click results
29
Email open rates average 21.33% in 2023
30
41% of marketers say blog content is top for traffic
Interpretation
Marketing Interpretation
While small businesses are wisely dedicating modest budgets to marketing, the data screams that survival hinges on a potent, authentic mix of social media savvy, SEO, and email, because ignoring the digital cocktail of consumer habits—from LinkedIn research to TikTok videos—is essentially leaving 70% of your potential customers at the door while 29% of your competitors haven't even built the hallway.
06 · Category
Operations30 stats
01
Average supply chain disruption cost businesses $1.5 million per incident in 2023
02
94% of Fortune 1000 companies use ERP systems for operations in 2023
03
Global inventory turnover ratio averages 5.5 times per year in 2023
04
45% of businesses adopted automation in supply chain by 2023
05
Average order fulfillment time is 2.6 days for e-commerce in 2023
06
67% of companies use cloud for operations management in 2023
07
Just-in-time inventory reduces holding costs by 20-30%
08
80% of supply chain leaders prioritize resilience post-2023 disruptions
09
Global logistics market size reached $5.7 trillion in 2023
10
55% of manufacturers use IoT for operations in 2023
11
Average downtime cost per factory is $260,000per hour in 2023
12
72% of businesses implemented lean manufacturing principles
13
E-commerce returns rate averages 24.4% in 2023, impacting operations
14
60% of supply chains use AI for demand forecasting in 2023
15
Global outsourcing market grew to $680 billion in 2023
16
40% reduction in lead times via digital twins in manufacturing 2023
17
75% of companies face supplier shortages in 2023
18
RFID adoption in warehouses up 25% to 65% in 2023
19
Average capacity utilization in US manufacturing is 78% in 2023
20
50% of businesses use blockchain for supply chain transparency
21
Procurement costs represent 60% of revenue in manufacturing 2023
22
85% of warehouses plan robotics investment by 2025, per 2023 data
23
Global 3PL market size $1.1 trillion in 2023
24
30% energy cost savings via smart factories in 2023 pilots
25
62% of SMEs use SaaS for operations in 2023
26
Vendor-managed inventory adopted by 40% of retailers
27
70% reduction in errors with automated picking systems
28
Global quality management software market $10 billion 2023
29
55% of operations managers report labor shortages in 2023
30
Predictive maintenance saves 8-12% on costs
Interpretation
Operations Interpretation
Businesses in 2023 are spending a fortune on technology and automation to build resilient, efficient operations, yet they remain acutely vulnerable to costly disruptions, labor shortages, and the stubborn reality of high procurement costs and e-commerce returns.
Reference
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APA
Kevin O'Brien. (2026, February 13). Basic Business Statistics. Gitnux. https://gitnux.org/basic-business-statistics
MLA
Kevin O'Brien. "Basic Business Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/basic-business-statistics.
Chicago
Kevin O'Brien. 2026. "Basic Business Statistics." Gitnux. https://gitnux.org/basic-business-statistics.
Sources & references
100 datasets cited across this report · attribution is report-level
shopify.com