Main Street Monday – Most Small Business Owners Run a Business for Greater Income

December 12, 2022

Delaney Sexton
Contributing Editor

Main Street Monday – Most Small Business Owners Run a Business for Greater Income

”In 2019, 64 percent of owners of firms with employees said wanting to be their own boss and having greater income were very important reasons for owning their own businesses,” reads a report from the SBA Office of Advocacy. “In most industries, owners had motivations similar to the total figures by selecting wanting to be their own boss (or empowerment) and greater income as top reasons for running a business.”

Wanting a higher income is one of the top two reasons people own small businesses. The industry that people turn to most frequently when they want to make a great income is the finance and insurance industry with almost three-quarters of small business owners in the finance and insurance industry citing greater income as the top reason for running a small business.

The industry that cited an increased income as the top reason for running a business the second most often was the construction industry. 68.3% of the small business owners in the industry wanted a larger income.

The third most common industry that small business owners cited more significant income as the top reason for starting a business was the transportation and warehousing industry with two-thirds of owners saying this was their main reason for running a business.

Of the nineteen industries that the Office of Advocacy included, ten industries had more income as the number one reason for owning a small business.

This desire to earn more money being one of the main reasons small business owners run a business has remained consistent since 2014.

Source:
SBA Office of Advocacy Report

Read our previous reporting:
C-Suite Wednesday – Business Ownership is Driven by Opportunity, Not Necessity