The domination of the world by small business continues….
Canada recently updated its website of business stats. No surprises, either. Just like in most parts of the world, small businesses make up the vast majority of businesses in Canada.
Out of 2.3 million businesses in Canada, over half are very small — they have no employees. Of the ones with employees, 97.7% have fewer than 100 employees.
Here’s an interesting chart showing the breakdown of Canadian businesses by size (“indeterminate” means the business has no employees):
Note how many businesses produce services rather than goods — 75%. If you caught my February piece discussing service-producing versus goods-producing jobs in the U.S. (Welcome to the “Service Nation”), then you won’t be surprised by Canada’s experience either.
The migration towards service-producing economies is a pervasive trend in most developed parts of the world. Developing countries produce goods. Developed countries produce services.