NEW YORK (WBNG) – A report by New York State comptroller Thomas P. DiNapoli shows how vital small businesses are to New York’s economy, according to information found on the OSC website.
Based on the most recent available data from 2023, New York small businesses generated approximately $1 trillion in sales and revenues, with more than 3.7 million employees at over 422,000 establishments.
“Small businesses are the foundation of New York’s economy, stimulating economic activity in our cities and towns, spurring innovation across industries, providing a variety of employment opportunities, and enriching our communities,” DiNapoli said.
DiNapoli explains New York ranked fourth among states in the number of small businesses, and third behind California and Florida for its share of small businesses. He says New York trailed the rest of the country in some key factors, including small business creation and employment.
“However, growth in small business jobs and new startups lags the rest of the nation. New challenges, like tariffs, have forced owners to make sacrifices and difficult choices. The state and local governments should continue to look for ways to support small businesses by easing their entry into markets and helping them thrive in New York.”
DeNapoli’s report found key statistics using U.S. Census Bureau data:
422,137 small businesses (with fewer than 500 employees) operated across New York in 2023, comprising 98.9% of all businesses in the state.Over 80% of all New York businesses had fewer than ten workers. Small businesses employed 3.7 million people, close to 45% of the state’s jobs, earning an average of $60,579 in annual pay in 2023.The small business industries that provide the greatest total employment are health care and leisure activities, making up 33.7% of small business employment in the state.Small business owners are more diverse than those of large businesses: in New York, 23% are majority-owned by women and 26% by minority business owners — compared to less than 4% and 3%, respectively, for large firms.In 2023, the percentage of jobs at small businesses averaged 47.5% nationally and was 44.7% in New York
The report also includes details about trends in small business creation, challenges of entrepreneurship in New York and state action. It discusses that supporting small businesses, with the employment and opportunities it provides, will help New York’s future economic growth.
To read more about DeNapoli’s findings, click here to find the full report.
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