How does the SBA define a small business?
A small business is an concern that is organized for profit, with a place of business in the United States, and which operates primarily within the United States or makes a significant contribution to the U.S. economy through payment of taxes or use of American products, materials or labor. Further, the concern cannot be dominant in its field, on a national basis. Finally, the concern must meet the numerical small business size standard for its industry. SBA has established a size standard for most industries in the U.S. economy. The most common size standards are as follow: • 500 employees for most manufacturing and mining industries • 100 employees for all wholesale trade industries • $6.5 million for most retail and service industries • $31 million for most general & heavy construction industries • $13 million for all special trade contractors • $0.75 million for most agricultural industries About one-fourth of industries have a size standard that is different from these levels. The
