Small Teams, Big Impact: Why Local Talent Loves Small Business

May is Small Business Month in the United States – and there’s nothing small about the impact these organizations have on our workforce, local communities, local economies, and country. According to the U.S. Small Business Administration (SBA) Office of Advocacy…
- 99.9% of U.S. businesses are classified as small businesses (independently owned and operated, with fewer than 500 employees).
- There are 34,752,434 small businesses in the United States.
- Small businesses employ 45.9% of American workers, or about 59 million people.
- Small businesses represent 43.5% of America’s gross domestic product (GDP).
And the numbers keep growing. The United States averaged 430,000 new small business applications per month in 2024, 50% more than in 2019.
Given these statistics, does anyone wonder why small businesses seem like the underdogs when it comes to hiring success? They do face hiring challenges due to resource limitations, struggling to compete with the salaries and benefits of larger companies, especially in a tight labor market.
But there’s a greater truth – in fact six of them – and they’re turning the tide toward a preference for small business employment.
6 serious perks small businesses offer that big firms can’t always match
Why is it a good idea to work for a small company? For professionals choosing to join smaller organizations and teams, their reasons include faster and greater job fulfillment, the accelerated experience they gain, and other big benefits that are hard to come by in larger organizations. Plus, there are plenty of opportunities in which small businesses offer salaries that are on par with big companies.
- If you’re a small business owner, communicate the following attributes in your talent acquisition efforts. This will go a long way in persuading top talent to join your team.
- If you’re a job seeker looking for rapid career growth and advancement, consider the substantial personal and professional rewards of using your skills and talents to elevate a small business.
Here are the six biggest advantages of employment with a small business and why job seekers are finding them more attractive than seeking roles at larger organizations.
1. You can actually make a difference
At a smaller company, your work is visible and meaningful – not lost in a sea of meetings and layers of management. The contributions of every team member count, which means you’re hands-on, you’re trusted, and your ideas get heard – and used. There is an obvious increase in job and career fulfillment to be found in working with small teams.
2. You learn really fast
Forget waiting years to try something new. Variety is the name of the game in working with a small team. You wear more hats, learn by doing, and quickly pick up new skills. This is great for people who love a challenge, want to grow, and become more valuable team members. If you want a role that allows you to be dynamic and work creatively, you are in essence an entrepreneur, and small business is where it’s at.
3. The company culture just hits different
Small teams often feel more like a close-knit crew than a workforce. The vibe is more personal to each team member, so it’s easier to be and feel connected to coworkers and the mission. This is one way to ensure you never feel like a cog in the machine.
4. Flexibility is real
Are you looking for more work-life balance? Many small businesses are more open to flexible hours, remote work or hybrid work models, or just working in a way that fits your preferences and life circumstances. And that’s a big deal these days.
5. You get a seat at the table
You’re not just an employee. In a smaller company, you’re a part of the conversation in helping to influence initiatives, strategy, and direction. In a small business, team members often work closely with leaders, making it easy to share ideas, receive direct feedback, make important decisions, and have a consequential impact on the bottom line.
6. You spend your days immersed in that startup energy
There’s something special about building something together. Small businesses typically foster a can-do, let’s-figure-it-out-together energy that attracts people who want to become part of a meaningful and dynamic mission and organization.
Let a talent recruiter help build your team or career
I celebrate Small Business Month in May and all year long by connecting smaller organizations with the top talent they need to succeed. Small businesses may not have the size and scope of a Fortune 500 company, but they make up for it in purpose, flexibility, and heart – and collectively, they employ nearly half of the American workforce.
Get in touch with me if you’re looking to grow your team or advance your career. My name is Amber Gehringer and I am a senior recruiting partner with Goodwin Recruiting.
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