301,265 Small Businesses in Utah Employ Almost Half of Utah’s Workforce

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Press Release

The Office of Advocacy, an independent office within the U.S. Small Business Administration, released the Small Business Profiles for the States and Territories on Friday. Each year, Advocacy’s economic research team gathers the most recent government economic data to construct an in-depth but user-friendly snapshot of each state’s small business employment, industry and economic growth statistics.

The 2020 Small Business Profiles show that small businesses added 1.8 million net new jobs in the United States during the latest year studied. The United States has 31.7 small businesses that employ 47.1% of the private workforce. The top three industries for U.S. small business employment are (1) health care and social assistance, (2) accommodation and food service, and (3) retail trade.

In Utah, the data show there are 301,265 small businesses employing 590,417 people. “Utah small businesses employ 46.0% of Utah’s employees. That’s almost half of the workforce in Utah,” said SBA Utah District Director Marla Trollan. “We were also on a growth pattern in late 2019 ahead of the national rate.”

The Office of Advocacy reported that during the fourth quarter of 2019, Utah grew at an annual rate of 3.4%, which was faster than the overall US growth rate of 2.1%. Utah’s 2019 overall growth rate of 3.8% was up from the 2018 rate of 3.7%.

Most recently, in April 2020, the unemployment rate was 9.7%, up from 2.7% in April 2019. However, this was below the April 2020 national unemployment rate of 14.7%.

“The small business profiles show the importance of each state’s small businesses to the local economy, especially during these challenging economic times.” said Acting Chief Counsel Major L. Clark, III. “Each of the 31.7 million small businesses in the United States are important drivers of innovation and job growth that can lead us towards economic recovery.”

The profiles largely showcase economic information collected before the COVID-19 pandemic. The profiles show in 2019, prior to the pandemic, small businesses created 1.6 million net new jobs in the U.S. In April 2020, the unemployment rate was 14.7%, up from 3.6% a year earlier, showing the recent impacts of the pandemic.

The profiles cover the United States, the 50 states, the District of Columbia and five U.S. territories. They are based on data from the U.S. Census Bureau, the U.S. Department of Labor and other federal agencies. To view the small business profiles, visit the Office of Advocacy State Profile webpage.

Created by Congress in 1976, the Office of Advocacy of the U.S. Small Business Administration is an independent voice for small business within the federal government. Appointed by the President and confirmed by the U.S. Senate, the Chief Counsel for Advocacy directs the office. The Chief Counsel advances the views, concerns and interests of small business before Congress, the White House, federal agencies, federal courts and state policy makers. Economic research, policy analyses and small business outreach help identify issues of concern. Regional Advocates and an office in Washington, DC, support the Chief Counsel’s efforts. For more information on the Office of Advocacy, visit https://advocacy.sba.gov or call (202) 205- 6533.

For the Utah profile visit:

https://cdn.advocacy.sba.gov/wp-content/uploads/2020/06/04144227/2020-Small-Business-Economic-Profile-UT.pdf

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