The Importance of Small Business
Small business constitutes a major force in the global and local economy
Why Are Small Businesses Important?
Small business constitutes a major force in the global and local economy.
There are more than 100 million small businesses in the world, and they generate about 60 percent of the Gross Domestic Product (GDP) and 65 percent of the jobs worldwide.
The millions of individuals who have started businesses have shaped the business world as we know it today. Some small business founders like Henry Ford and Thomas Edison have even gained places in history.
Others, including Bill Gates (Microsoft), Sam Walton (Wal-Mart), Steve Jobs (Apple Computer), Michael Dell (Dell, Inc.), Steve Case (AOL), Pierre Omidyar (eBay), and Larry Page and Sergey Brin (Google), have changed the way business is done today. Still millions of others have collectively contributed to our standard of living.
Aside from contributions to our general economic well-being, founders of small businesses also contribute to growth and vitality in specific areas of economic and socioeconomic development. In particular, small businesses do the following:
Create jobs
Spark innovation
Provide opportunities for many people, including women and minorities, to achieve financial success and independence
In addition, they complement the economic activity of large organizations by providing them with components, services, and distribution of their products.
AISBX - A stock exchange to trade shares of small and medium-sized enterprises (SMEs) and startups
The AISBX is a new securities trading licensed platform under the supervision of the AIFC. The objective is to support SMEs to gain more access to international capital market funding resources and complete the capital funding ecosystem.
Job Creation
The majority of all workers first entered the business world working for small businesses.
Opportunities for Women and Minorities
Small business is the portal through which many people enter the economic mainstream. Business ownership allows individuals, including women and minorities, to achieve financial success, as well as pride in their accomplishments.
Innovation
Given the financial resources available to large businesses, you’d expect them to introduce virtually all the new products that hit the market. According to the U.S Small business Administration (SBA), small companies develop more patents per employee than do larger companies.
What Small Businesses Do for Big Businesses
Small firms complement large firms in a number of ways. They supply many of the components needed by big companies. For example, the U.S. automakers depend on more than 1,700 suppliers to provide them with the parts needed to make their cars.
Funding and expanding small businesses
Using finance to aid growth can be smart and potentially explosive, and there are many ways to grow a small business. Funding it is a big part of the puzzle and it can help any promising company go from zero to 100 in a very short time.
How Entrepreneurs Went from Garage to Fortune 500
If you are starting a business in your garage and you hear a few people laughing, remember these five entrepreneurs who started in a garage and moved on to the Fortune 500:
Does your mission statement define why your company exists?
A mission statement can be a powerful tool to help ensure your company remains consistently excellent and focused. It is your "why" - it's why you exist. Your strategy. Your core. Your vision. Your identity. Your culture. And it can steer you toward success.
7 Massive Companies Started in Tiny Unexpected Spaces
Are you working out of your garage, in your bedroom, a motel room, or a friends space that they aren’t using on the weekends? Listen, it happens. We all have to start somewhere – the big thing is that you started. So many people have had ideas for companies and just sat on them because taking that initial leap is too risky – but you did. And you’re in good company.
Trillion and billion-dollar-companies started in garage (or why we belive is small businesses)
The heroic story of going from somebody’s garage to being worth billions has got to be one of the most compelling tales within entrepreneur and startup folklore.
