The typical Australia business – it’s small

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The Typical Australian Business
Carolyn Eaves

The typical Australian business is a small business

The typical Australian business is in fact a non-employing business by the owner manager (own-account workers), from home and in a service industry (most commonly construction business or distribution/retail services)

The typical Australian Business by size

For over a decade, the Small Business Sector has been the largest business sector, averaging over 96% of all businesses in Australia.  Non-employing businesses (own-account workers) have represented about 61% of all Australian businesses during this period of time.  Larger businesses only represent 0.2% of Australian businesses.

The typical Australian Business by size and place of business

The place of operations is considered a fundamental marketing component but it is also a major expense for most businesses. Most Australian businesses (50.5%) operate from home, the other 49.5% operate from a commercial premises. The largest group of identified businesses based on place of operation are the non-employing businesses operating from home which represent 44.1% of all Australian businesses. Statistics on the place of business have not been collected by the ABS since 2004.

The Typical Australian Business by size and Industry Sector

Little information is available on the distribution of Australian Businesses by employee numbers and main industry sectors.  The following chart, by the RBA, is one of the few that show the distribution of small businesses across the main industry sectors, on the basis of number of employees.  It shows the most common industries small business and non-employee businesses operate within are business services, construction services and distribution (including retail) services.

 

For more information about small businesses see;

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