6 Reasons Why Entrepreneurs and SMEs Are Crucial For The Economy
99.9% of businesses in the US are small businesses.
There are 400 million small businesses in the world. In the US alone, there are 33 million of them.
Yet, these companies are overlooked by many for the world’s development.
Up till today, most of us believe that big corporations are the ones who are filling our needs.
We neglect the efforts made by Small and Medium Enterprises (SMEs) which are bringing countless benefits.
I’ve seen people in my circle applying for jobs at huge tech companies such as Google, and Amazon, to name a few.
My biggest advice to them is to keep their vision broad and look at what entrepreneurs of SMEs have to offer as well.
Because let me tell you, they are becoming one of the biggest contributors to our world.
Let’s dive into how they are changing the world!
1. Economic growth
SMEs contribute around 40% of GDP in the US.
They are part of the bigger economy, having their signature in government spending, consumption, net exports, and business investments.
When SMEs help the economy thrive, they are building a healthier country that all of us are part of. This includes healthcare, transport, education, and other major sectors.
When SMEs grow, we grow.
2. New jobs
In 2019, SMEs are responsible for over 2/3 of all jobs worldwide.
As more SMEs start hitting higher revenues, they require more hands on deck. Further employment opportunities are born from the human resource department, all the way up to the customer relations department.
As SMEs progress, the unemployment rate worldwide will decrease. More individuals will have an income source to feed themselves and their families.
Hence, more jobs, more employment.
3. Diversity
Today, many SMEs are adopting a diversity culture in workplaces.
Regardless of race, culture, religion, or skin tone, these companies introduce fair chances to anyone who joins their company.
This movement creates equality among humanity by understanding that talent is everywhere and it doesn't restrict to their cultural background.
SMEs proved that having diverse people in a company is necessary. It won’t make them different, but it makes them human.
4. Resilience
99.9% of businesses in the US are small businesses. One of the key skills of SME entrepreneurs is — resilience.
We know managing a business is not a piece of cake. It takes an enormous amount to ideate, build, and sustain.
With the increasing rate of flourishing SMEs, it’s notable that these entrepreneurs' resilience is immense.
The day we start learning from these skilled individuals, the more we will notice the impact they are making.
Entrepreneurs and SMEs are the massive driving forces for the economy.
It’s high time we give them the credit they deserve for making the world a better place.
Supporting them is not about making profits, it’s about crafting a more inclusive society for all of us to live in.
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