6: Small business

Chart 6.1 Number of small businesses by industry, 2013

Note: Small businesses are based on the ABS definition of less than 20 employees.

There are approximately 83,000 small businesses which are classified as ‘Unknown’ by the Australian Bureau of Statistics (ABS). These businesses include unclassified or other industries that do not belong to the other classified industries.

Source: ABS 2014, Counts of Australian Businesses, including Entries and Exits, June 2009 to June 2013, cat. no. 8165.0, ABS, Canberra.

This chart presents the number of small businesses for 19 industries, using the ABS definition of a small business. The construction industry has the highest number of small businesses, followed by professional, scientific and technical services, and rental, hiring and real estate services.

Number of small businesses by industry, 2013
Industry Number of businesses with fewer than 20 employees
Construction 323,648
Professional, Scientific and Technical Services 236,755
Rental, Hiring and Real Estate Services 218,362
Agriculture, Forestry and Fishing 183,365
Financial and Insurance Services 165,929
Retail Trade 127,186
Transport, Postal and Warehousing 121,238
Health Care and Social Assistance 101,958
Other Services 84,333
Manufacturing 77,142
Accommodation and Food Services 73,873
Administrative and Support Services 72,933
Wholesale Trade 70,450
Arts and Recreation Services 24,836
Education and Training 23,450
Information Media and Telecommunications 17,134
Mining 7,485
Public Administration and Safety 6,723
Electricity, Gas, Water and Waste Services 5,131
Unknown 83,102

Chart 6.2 Number of entities lodging tax returns

Source: Australian Taxation Office 2014, Taxation Statistics 2011-12, Australian Taxation Office, Canberra.

This chart of different entity types shows the increase in the number of companies, superannuation funds and trusts, from the period 2000 to 2012, and the decrease in partnerships over the same period.

Number of entities lodging tax returns
X Values Companies Trusts Partnerships Superannuation funds
1999–00 681,735 509,400 526,230 208,490
2000–01 712,645 504,800 507,150 220,890
2001–02 734,270 509,085 493,935 233,930
2002–03 752,600 526,055 482,095 255,680
2003–04 769,520 559,630 474,685 279,830
2004–05 791,405 598,205 466,910 295,985
2005–06 811,560 636,500 457,700 313,150
2006–07 833,790 679,845 448,795 349,475
2007–08 844,735 716,945 436,415 370,385
2008–09 839,315 733,780 415,420 386,540
2009–10 853,480 764,105 403,880 403,460
2010–11 849,100 780,345 386,620 418,240
2011–12 817,885 753,730 359,905 428,055