Small businesses play an important role in our economy by providing essential goods and services to consumers and other companies. They contribute 44% to the United States economy and create 62% of the jobs in the job market. As of 2023, there were 33.2 million small businesses in the US, highlighting their significant impact on our country and local communities. Without small businesses, our world would be vastly different from what it is today, as they are the backbone of our economy.
Starting and running a business can be an incredibly fulfilling but challenging experience. Even though being your own boss gives you the freedom to make decisions, it can also be challenging. Entrepreneurship becomes even more complicated when you realize that a business with less than 50 employees is considered small, and the average small business has only 11.7 employees. Small businesses face many obstacles, such as acquiring new customers, increasing brand awareness and visibility, managing cash flow and access to capital, protecting data, marketing, and scaling. According to the Bureau of Labor Statistics, in the United States, 18% of small businesses fail within the first year of ownership. Additionally, 50% fail after the first five years, and 65% fail within the first ten years.
Entrepreneurship is a journey that requires immense courage and resilience. It’s a path filled with both triumphs and challenges. Those who dare to become their own boss, to transform an idea into a business, are the true heroes of our economy. This is why we celebrate them every year during National Small Business Week. Since 1963, the U.S. Small Business Administration (SBA) has been championing these enterprises and entrepreneurs. This week-long celebration is not just about acknowledging the economic strength of small businesses. It’s about honoring the unwavering dedication and hard work of the men and women who own and run these businesses. This year, we’re shining a spotlight on in-person businesses, recognizing the unique challenges they face in today’s digital and convenience-driven world.
In a world increasingly dominated by digital interactions, the value of face-to-face sales can sometimes be overlooked. Yet, even in the aftermath of the pandemic, many in-store businesses are experiencing a decline in sales month-over-month, particularly those selling furniture, clothing, and health products. However, the good news is that retail sales in the US were up by 0.6% in February. In-person sales remain a valuable and reliable way to quickly expand a business’s customer base in new markets. They also offer a unique opportunity to truly become part of a community. In-person businesses that are conveniently located in a neighborhood can enhance their brand’s reputation, increase visibility, and provide residents and passersby with a sense of comfort and belonging. In-person sales is not an outdated sales strategy; it’s a powerful tool for community engagement and business growth.
Small businesses have a special place in our hearts at Credico, as we were once a small business ourselves. Three decades later, we are still helping companies to expand and grow into bigger and more sustainable ones. Our goal is, and has always been, to help small businesses stay afloat, flourish, and eventually cross that ten-year milestone and continue to thrive for decades to come. We celebrate National Small Business Week because we know firsthand the struggles of business ownership. We also know the resilience of overcoming the challenges unique to small businesses because we’ve been there before. That’s why we celebrate those individuals who endure through the end. Even if your business fails, whether within its first year or 10th, the fact that you were once a member of the small business club does not diminish our celebration of your efforts. We are here to support you, just as we have supported countless other small businesses on their journey to success.
To all the businesses seeking assistance with their sales, let Credico help you expand your customer base and your current territory. We understand small businesses’ unique challenges and can help you solve those problems. Contact us today!