Small business is a vital part of America’s economy and plays an important role in innovation, job creation, and economic resilience. From solo entrepreneurs to family-run shops to corporate giants, small businesses are responsible for launching some of the most popular products on the market. Their diversity also reflects the wide variety of ways people choose to work: by themselves, with one or more employees, and through a range of legal structures.
Despite the many benefits, there are a number of challenges that come with owning a small business. For starters, it can be difficult to balance work life with home life and personal financial goals. Additionally, being a small business owner often means wearing multiple hats and juggling many responsibilities at once. This can lead to stress, anxiety and even a fear of failure. However, with perseverance and determination, it is possible to create a successful business. For instance, Walt Disney started his empire from a single animation studio, and Sara Blakely built global underwear conglomerate Spanx with just $5,000 of her own funds.
To help support and grow small businesses, the federal government offers several financial programs and services for entrepreneurs. These include loans, technical assistance, and contracting opportunities. Depending on their size and industry, small businesses can also qualify as very small businesses or as small disadvantaged businesses in order to access additional funding and opportunities. The precise definition of small business varies by state and industry, but in general it is determined by revenue, number of employees, and legal structure.