The Global Small to Medium Enterprise (SME) Statistics

The OECD (Organisation for Economic Co-operation and Development) defines Small to Medium Enterprises (SMEs) as non-listed, independent businesses that employ a varying maximum number of employees (e.g., 200 in Australia, 250 in the UK and the European Union, and 500 in the US). Each SME is then sub-categorised as a sole trader, micro, small or medium business.

Australia has 2.6 million actively trading SMEs. They represent 99% of all business owners, generate 56% of GDP, and employ 68% of the working population.

The United Kingdom has 5.5 million SMEs. They represent 99% of business owners, generate 50% of GDP, and account for 61% of the working population.

The United States has 33 million SMEs, representing 99% of business owners, generating 44% of GDP, and accounting for 46% of the working population.

The comparative SME statistics for most other developed and developing nations sit comfortably within those ranges. It’s therefore a reasonable assumption that the global economy is significantly dependent on the SME Sector for its ongoing survival and success.

The DNA of an SME Entrepreneur

Leaving the safe harbour of secure employment to become a business owner, to pursue a dream, to be their own boss, to create something special, is the most exciting yet daunting challenge many SME Principals have ever undertaken. During the early stages, they often find themselves working longer hours for less money. They have difficulty managing priorities, suffer from stress and sleep deprivation and at times feel cut off from the world around them. Time with family and friends all too often becomes a luxury and the grand vision that brought them into their venture sometimes feels as though it’s a millennium away.

I have known many entrepreneurs who started out as sole traders or micro-SMEs and faced similar changes, yet went on to build thriving businesses, even during the toughest of times. Have no doubt where there’s a serious will, driven by a passionate drive to succeed, a well-executed game plan, the right product offering, and yes, peppered with the occasional lucky break, success will follow.

John Goddard: During my working life, I was a senior career banker. I gained solid financial credentials from my early accounting studies, a solid rookie banker’s education from the Westpac Banking Group, particularly my time with AGC Leasing, and my valuable learnings working for a World Bank funded Financial Institution.
In Australia, I had responsibility for large retail, commercial and SME Banking portfolios. I was Head of St. George’s Retail Bank, CEO of Bendigo Bank’s Italian Banking business, Chief Operating Officer of Bendigo Queensland, Chairman of South East Queensland Community Telco and Chairman of The Cooper Property Group, one of South Queensland’s most successful larger SMEs.
I sat on many boards, including public corporation entities, government-owned corporations, industry bodies, not-for-profits and educational institutions. I also joined advanced executive learning programs at Columbia University in New York and several other prestigious international business schools.

Ian Hulbert is CEO of SME Keystone Pty Ltd. He was my valued collaborator in penning my Critical Successful Factor 4 Time Management chapters and in his contributions to the book overall. For the past two decades, Ian has worked in Senior SME leadership roles, where he leveraged his diverse experience in refining and improving workplace systems; managing Workplace Health & Safety (WHS) Programmes; dealing with time, management and resource optimisation challenges; constructing sales leadership and customer mapping data for optimal CRM deployment; introducing the benefits of advanced digitisation; and generally in managing change for positive outcomes.