The Size of Business Report for the Third Quarter
(July to September) of 2010 is now online. It provides data at the state, county, and metropolitan area levels by business size category. Tables for California and the metropolitan areas include breakouts at the major industry levels.
Businesses are grouped by nine size categories:
In the third quarter of 2010, California reported 1,344,480 business establishments with 14,475,411 employees and payroll of 183.8 billion dollars.
One of the more interesting comparisons using these data is the distribution of businesses and employment within the size classes. As in recent years,
96 percent of the more than 1.3 million businesses in California have less than 50 employees. Additionally, the smallest size class (0 to 4 employees) accounts for 71.4 percent of the businesses in the State, but only employs 7.6 percent of California's workers. In contrast, the largest size class (1,000 or more employees) accounts for only 0.1 percent of the businesses in the state but comprises 13.8 percent of California's workers.
When looking at the data compared to the third quarter of 2009, the number of businesses declined slightly by 0.21 percent, employment declined by 0.16 percent, and payroll increased by 3.0 percent. The breakdown by industry provides a more detailed view of California's current economic state.
The industries with the greatest over-the-year increases in employment are services (+116,398) and health care and social services (+48,525). The greatest over-the-year declines in employment are federal, state and local government (-49,854) and construction (-39,060).
The Size of Business report is released annually for the state, counties, and metropolitan areas in the fall using data from the third quarter which is the most seasonally stable quarter. Statewide data are also available quarterly.