Why small business is big in Canada

Small business is the backbone of the Canadian economy. These enterprises, which include many local shops and contractors, drive innovation, create jobs and foster economic growth. In recognition of BDC Small Business Week, taking place from October 15 to 21, here are seven facts highlighting the importance of Canadian small businesses:

1. About 98 per cent of all businesses in Canada have fewer than 100 employees, making small businesses a dominant force in the entrepreneurial landscape.

2. More than 80 per cent of the private sector workforce is employed by small and medium-sized enterprises (SMEs), demonstrating the critical role of small businesses in job creation and employment opportunities.

3. Small businesses in Canada contribute about 53 per cent to the country’s GDP, underscoring their substantial economic impact.

4. Small businesses accounted for about 43 per cent of all goods and services exported by Canadian businesses, showcasing their contribution to international trade.

5. Small businesses are active in various sectors, with the highest concentration in professional, scientific and technical services, retail trade and construction.

6. Small businesses play a vital role in rural communities, accounting for 26.5 per cent of total employment in rural areas.

7. Small businesses are often the breeding ground for innovation, with more than 41 per cent of all private sector investments in research and development being made by SMEs.

This year, you can observe BDC Small Business Week by supporting the small and medium-sized businesses in your community. Visit bdc.ca for more information.