Manufacturing exceeds other sectors in small business financial performance
- Manufacturing sector reported the highest average revenue among small businesses at $1,211,760.
- Healthcare & Social Assistance led in funding approval rates with 46%, while Retail Trade had the most considerable funding volume at 20%.
- These findings indicate that Manufacturing consistently outperforms other industries in financial measures.
In November 2024, a study conducted by Biz2Credit revealed significant insights into the performance of small businesses in various sectors within the United States. The Manufacturing industry emerged as the leader, recording the highest average revenue of $1,211,760 and the highest average credit scores at 676. This performance highlights a trend where Manufacturing businesses not only have substantial earnings but are also financially stable, as indicated by their credit ratings. Established businesses in Manufacturing also tend to be older, with an average age of about 8.8 years, suggesting a longstanding presence and expertise within this sector. In contrast, other industries demonstrated varying strengths. The Healthcare and Social Assistance sector had the highest funding approval rate at 46%, showcasing the industry's perceived reliability and necessity in the economy. Retail Trade, on the other hand, led in the volume of funding received, accounting for 20% of the overall funding extended to small businesses. This suggests a robust recovery and growth in the retail sector, particularly as it recuperates from pandemic-related impacts. Information Technology (IT) distinguished itself by securing the highest average funding amount of $98,311, reflecting its essential role in modern commerce and ongoing innovation. The report assessed a broad spectrum of small businesses, from burgeoning startups to well-established firms, aiming to gauge their financial measures and overall performance based on industry classifications. Overall, the findings present a comprehensive picture of economic dynamics in the small business landscape, establishing Manufacturing as a leading sector with commendable financial metrics while also recognizing the strength of Healthcare, Retail, and IT in other aspects. As industries continue to evolve, these financial indicators will likely provide valuable insights for entrepreneurs and investors alike in navigating future opportunities.