Every figure on this page comes from one of three federal publications: the Federal Reserve Banks’ Small Business Credit Survey, the SBA Office of Advocacy’s annual FAQ, and the FDIC’s Small Business Lending Survey. Each number links to its source. None of them are ours — our own figures are on the about page, labelled as such.
How many small businesses there are
The Office of Advocacy counts a business as small when it has fewer than 500 employees. By that definition almost every business in the country is one.
| Figure | What it measures | Source |
|---|---|---|
| 36,207,130 | Small businesses in the United States | U.S. Small Business Administration, Office of Advocacy |
| 82.3% | Have no employees | U.S. Small Business Administration, Office of Advocacy |
| 17.7% | Have paid employees | U.S. Small Business Administration, Office of Advocacy |
| 99.9% | Of all U.S. firms are small | U.S. Small Business Administration, Office of Advocacy |
| 45.9% | Of private-sector employees work for a small business | U.S. Small Business Administration, Office of Advocacy |
| 43.5% | Of gross domestic product comes from small businesses | U.S. Small Business Administration, Office of Advocacy |
| 38.7% | Of private-sector payroll | U.S. Small Business Administration, Office of Advocacy |
| 61% | Of net new jobs since 1995 were created by small businesses | U.S. Small Business Administration, Office of Advocacy |
| 97.2% | Of U.S. exporters are small businesses | U.S. Small Business Administration, Office of Advocacy |
Who applies for financing, and who gets it
The Federal Reserve's Small Business Credit Survey asks employer firms every fall what they applied for and what happened. These are the 2025 answers, published in March 2026.
| Figure | What it measures | Source |
|---|---|---|
| 60% | Of small employer firms applied for some form of financing in the prior 12 months | Federal Reserve Banks |
| 38% | Applied specifically for a loan, a line of credit, or a merchant cash advance | Federal Reserve Banks |
| 42% | Of applicants received the full amount they asked for | Federal Reserve Banks |
| 57% | Full-approval rate for applicants at small banks | Federal Reserve Banks |
| 60% | Of firms that borrowed from an online lender said the cost was higher than they expected | Federal Reserve Banks |
| 56% | Applied to cover operating expenses | Federal Reserve Banks |
| 59% | Of firms with financing had a personal guarantee attached to it | Federal Reserve Banks |
| 31% | Of small employer firms carried no outstanding debt at all | Federal Reserve Banks |
| 77% | Reported rising costs of goods, services or wages, tariff-related cost increases, or both | Federal Reserve Banks |
How banks decide, and how long it takes
The FDIC asked about 1,300 banks how they actually underwrite a small business loan. The answers explain most of what a business owner experiences at a branch.
| Figure | What it measures | Source |
|---|---|---|
| 3 in 10 | Banks can approve a small, simple loan within one business day | Federal Deposit Insurance Corporation |
| 3 in 4 | Banks can approve a small, simple loan within five business days | Federal Deposit Insurance Corporation |
| 81% | Of small banks often or always require collateral even for small loans | Federal Deposit Insurance Corporation |
| #1 | The owner's personal credit score is the factor banks most often rate as important | Federal Deposit Insurance Corporation |
| 66% | Of banks make loans to businesses they consider start-ups | Federal Deposit Insurance Corporation |
| 89% | Of small banks have a decision-maker meet the applicant in person | Federal Deposit Insurance Corporation |
| < 1 in 30 | Banks use a credit-scoring system to approve loans automatically | Federal Deposit Insurance Corporation |
How long small businesses last
Bureau of Labor Statistics establishment data, averaged over 1994 to 2022, as compiled by the Office of Advocacy. The lender's two-year and five-year thresholds are not arbitrary; they sit where the survival curve bends.
| Figure | What it measures | Source |
|---|---|---|
| 67.7% | Of new employer establishments survive at least two years | U.S. Small Business Administration, Office of Advocacy |
| 49.2% | Survive five years | U.S. Small Business Administration, Office of Advocacy |
| 33.9% | Survive ten years | U.S. Small Business Administration, Office of Advocacy |
| 69.5% | Of businesses that reach five years go on to reach ten | U.S. Small Business Administration, Office of Advocacy |
| 1.3M | Establishments opened for the first time in 2023 | U.S. Small Business Administration, Office of Advocacy |
| 40.4% | Of classifiable businesses were owned by women in 2022 | U.S. Small Business Administration, Office of Advocacy |
Sources and method
- 2026 Report on Employer Firms: Findings from the 2025 Small Business Credit SurveyFederal Reserve Banks. Published March 3, 2026. Survey of 6,525 small employer firms (1 to 499 employees) in all 50 states and DC, fielded September 3 to November 14, 2025.
- Frequently Asked Questions About Small Business, February 2026U.S. Small Business Administration, Office of Advocacy. February 2026 edition. Compiled by the Office of Advocacy from Census Bureau (SUSB, NES, ABS), Bureau of Labor Statistics (BED) and other federal series; most figures refer to 2022 to 2024.
- 2024 Small Business Lending SurveyFederal Deposit Insurance Corporation. Report published 2024, survey conducted June 2022 to January 2023. Nationally representative survey of about 1,300 U.S. banks (68 percent response rate) on how they underwrite, approve and price small business loans.