Small businesses are continuing to strengthen the economy making up 97.2 per cent of total businesses in Australia.
As of June 2024 there were more than two and a half million actively trading businesses in Australia, which is almost one business for every 10 Australian.
In addition there was a 2.8 per cent increase in the number of businesses operating by the end of the 2023/24 financial year, compared to the beginning, which was an overall increase of 73 125 businesses.
With the rise of online shopping, small entrepreneurs have pounced on potential markets, particularly during the pandemic, as a way to make up for a loss of income.
Entrepreneur and founder of Lunarey, Emilia Mitrevski was inspired to make a mid luxury pyjama business through her love of fashion and design.
Still working a full time job, Ms Mitrevski has not had to face the major stress of relying on her small business to make a living.
“I have my full time job still, it is not like if I don’t get a sale today I have to close the shop,” Ms Mitrevski said.
“At the end of the day if your product is not right its not going to sell, and you’re not going to have sales to run your business and pay rent.”
In the 2023/24 financial year NSW had 149 225 (+8.1 per cent) business start-ups, compared to 122 748 (+1.8 per cent) businesses shutting up shop, with economic instability and a rise in cost of living potentially to blame.
A study conducted by the NSW Small Business Commission showed that only seven per cent of businesses found regulation designed to their needs, while only 13 per cent of business owners were confident in regulation achieving beneficial outcomes.
Looking across Australia, New South Wales and Victoria are the states with the most businesses, possibly due to major city driven locations and having the largest populations.
Data Sources: Australian Bureau of Statistics, NSW Government
Additional Reporter: Emma Hastie