Small Business and Employment

Small Business and Employment Synopsis

Since small businesses have historically created a disproportionately large share of new jobs, this book analyses the factors that lead new businesses without employees to hire their first employee. This is a significant aspect of small business job creation. Given that about three in four small businesses do not have employees, these non-employer businesses present an important source of potential new jobs. Non-employer firms -- businesses without employees -- represent a large percentage of businesses; however, little is known about their dynamics (entry and exit). This book seeks to illustrate basic statistics about the prevalence of entry and exit for non-employers and the local conditions that led to their entry.