28/05/2024
8. 19% of Small Businesses Generated Between 200-500K in Annual Sales
In the small business world, annual sales can vary quite significantly.
As with businesses of any size, this is bound to happen. It’s impossible to apply the same standards to a two-man painting company and a bustling auto repair shop. Simply put, companies of different sizes and with different expenses aren’t bound to generate the same sales numbers.
19% of small businesses generated between $200,000 to $500,000 in annual sales. This may sound like a significant amount of revenue, but when everything is said and done, it’s actually closer to the break-even range (depending on the type of company).
After figuring in payroll, rent payments, materials, insurance, and other regular expenses, there’s not a lot left for the business owner to work with.
According to the same data, 9% of small businesses have annual sales over $1 million. From here, reaching the $5 million threshold requires funding, the right staff, integrated payroll/bookkeeping solutions, marketing campaigns, and other resources.
A small business loan can help you to reach the next threshold as your business continues to grow.
