Are Small Businesses in the US Too Big to Fail?Authored by: Jim Stewart, Founder DocuSend, powered by MTI.
Posted on February 12, 2018
If you finish reading this, chances are it's because you are one of the 28 million small business owners in the US today or are at least associated with one at a high level. That makes you the very backbone of American commerce and places you at the heart of the US economy. Why? Here are just a few of the reasons:
- ✔ The 28 million small businesses in the US outnumber large businesses 1162 to 1.
- ✔ Small businesses employ 57% of the country's private workforce.
- ✔ It still only takes an average of 6 days to start a business in the US, compared to a whopping 38 in China.
- ✔ As of 2016, the top fastest-growing states for women-owned firms are Florida, Georgia, and Texas. Women are now the majority owners of 38% of US businesses.
- ✔ In 2012, there were 2.5 million veteran-owned businesses.
- ✔ More than 60% of all new jobs come from small businesses.
- ✔ Small businesses (defined as businesses with fewer than 500 employees) account for 99.7% of all business in the US. That's an enormous number.
And this just brushes the surface of how important we are to the future of this country. Bottom line, if these statistics don't highlight the enormous importance of small businesses in the US, nothing will.
Small businesses are ''too big to fail'' because our economy will collapse without us. Yet many owners feel large businesses receive more support from the people we elect to provide us with a level capitalistic playing field.
The craziest part? More than two-thirds of all startups fail within ten years.
I have searched for a common thread among the business owners I have known over the years, some common ground that drives them. Personality traits, IQ, emotional intelligence, aggressiveness, but I have never found anything I can be sure of. We are all just as unique and diverse as the very businesses we operate. So let’s get back to playing on a level field as our constitution intended.
I think there are many ways to do that, but critical thinking requires information gleaned from the amazing diversity small business owners bring to the table. That’s why we’re asking you to share your experience and how it may help others succeed. After all, if we don’t support each other, how can we expect anyone else to?
So, that's my personal take. I don't have all the answers, nor do I pretend to. But I can share with you my deep-rooted passion to help small businesses grow. It's embedded in my DNA, and I would not begin to know how to get rid of it. I've been told it's why I always root for the underdog.
I've had many challenges in supporting small business in my career, but my most successful is DocuSend. It is an amazing cloud-based mailroom technology that provides an immediate ROI to any small business that distributes documents. And that includes the vast majority of the 28 million small businesses in the US today. This is what small businesses need and want: an immediate ROI. You don't gain your investment back over time, because there is no investment. Upload an invoice file to DocuSend, and you have just saved more than 50% over manually mailing them.
But back to supporting small businesses in the US. There will be many more posts on the DocuSend website regarding SMBs, but we want to base them on your experiences running your business. The question for this article:
Do you think small businesses get the same support from your government representatives that they provide to large corporations?