Role and Economic Contribution of SMEs

More facts around SMEs include:

• Create 80% of Australia’s employment gains (create 80% of all new jobs)

• Produce 50% of all goods and services

• Account for 20% of all money spent on Research and Development 

• Earn more profits and pay more taxes than larger businesses

• Generate increasing levels of exports

• Provides employment for 73% of private sector 

Economic Contribution:

Gross Domestic Product (GDP); the total amount of goods and services produced.

• SMEs contribute 50% of Australia’s GDP (around $800 billion)

Employment; the number of jobs with in SMEs.

• SMEs contribute about 73% of total private sector employment (9 million)

Balance of Payments; the difference between imports and exports

• SMEs are typically more successful at exporting than larger firms as they are more nimble and can cater for individual market needs.

Invention and innovation; 

• SMEs are behind most of the new innovations in all industries