Small businesses drive the nation's economy, according to a new report released by the Small Business Administration's (SBA's) Office of Advocacy. Titled 2003 State Small Business Profiles, the report reveals that more than 99% of all American businesses are small businesses. They account for 75% of the net new jobs and employ more than half of the nation's non-farm private employees.

Thomas M. Sullivan, SBA's chief counsel for advocacy, comments: "I hope this report helps policymakers recognize the key role that small business plays in our economy." 

The report breaks down the latest federal data state-by-state, showing how important small businesses are to the economy. The 2003 edition includes available statistical data for Puerto Rico and the U.S. territories as well.

"Even as job growth remains slow in the overall economy, small business income continues to rise," says Giovanni Coratolo, the Chamber's director of small business policy. "This report emphasizes the vital contributions small businesses make to the U.S. economy. Now more than ever, Congress should sit up and take notice."

The report indicates that small business dominates many sectors of the American economy including construction; professional, scientific, and technical services; health care; and social assistance.

Other 2002 Highlights:
Women accounted for 38% of all self-employed individuals, and women-owned businesses exceeded 5 million;
Small Business income from non-farm proprietors increased 4.2%; and
Businesss bankruptcies decreased 5.6%.