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Jan Norman on Small Business ~ News and practical tips for and by Orange County small business owners

Cal small-business job share dropped in ‘08

October 30th, 2009, 12:00 pm · Post a Comment · posted by Jan Norman, small-business columnist

California small employers’ share of jobs declined 1.3 percentage points to 52.1% of total employment in 2008, according to a new report for the Office of Advocacy in the U.S. Small Business Administration.

That decline illustrates the impact of the recession that started here earlier than in the rest of the country. Small businesses not only provide a majority of jobs, they account for 60% to 90% of new job growth, according to other Advocacy studies.

Check out the share of employment at small businesses in all the states (click on image for a larger view):

small-biz-employment

Some small-population states have a huge portion of their jobs in small businesses, and overall 31 states have at least half their jobs at small businesses. The SBA counts businesses with fewer than 500 workers as small.

Typically, small businesses start adding jobs coming out of a recession faster than big companies so those percentages should creep up as the economy recovers.

Other economy stories…

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