Small business growth rate 2025 is the hot topic for anyone running their own gig right now. Everyone’s asking the same thing: how fast are small businesses growing this year, and what can I do to keep up?
We’re going to break down the 2025 small business growth trends, the average small business growth rate, and the big growth drivers that are pushing some businesses ahead while others stall. You’ll also get practical tips to boost your numbers and stay competitive.
If you’ve ever thought “Am I growing fast enough? Should I be doing more?”, this guide is for you. Let’s unpack the key insights and give you the tools to track, compare, and improve your growth in 2025.
What is the small business growth rate 2025?
The small business growth rate 2025 measures how fast businesses are increasing revenue, employees, or market share this year. It’s a key benchmark for owners wanting to track their progress and stay ahead of competitors.
- It reflects overall economic conditions and sector performance.
- Growth rates vary widely by industry, region, and size.
- Knowing the numbers helps you set realistic KPIs for your business (see examples here).
IMAGE: A graph comparing small business growth rates from 2020 to 2025.
2025 small business growth trends and sectors
Many small businesses are bouncing back stronger post-pandemic, but some industries are still struggling. Let’s look at where growth is happening and what trends are shaping the year.
- Tech and e-commerce are seeing above-average growth rates.
- Traditional retail and hospitality are recovering slower but showing promise in niche markets.
- Sustainability and local production are major drivers of customer loyalty.
SME growth statistics 2025 vs prior years
Growth rates in 2025 are slightly higher than the five-year average.
| Sector | Average Growth 2024 | Projected Growth 2025 |
|---|---|---|
| Technology | 11.2% | 12.8% |
| Healthcare & Wellness | 8.4% | 9.1% |
| Retail | 4.5% | 5.3% |
| Construction | 6.7% | 6.9% |
| Hospitality | 3.8% | 4.2% |
For deeper insights, check out this OECD report on SME trends.
Drivers behind the average small business growth rate
What’s pushing some businesses ahead while others stall? These are the big drivers shaping growth this year.
- Adopting new technologies for efficiency and scalability.
- Strong branding and marketing to stand out in crowded markets (see 10 proven strategies here).
- Access to funding and investment opportunities.
Small business growth drivers
Success often comes down to how well owners can pivot and innovate:
- Digital transformation and automation.
- Responding to changing customer needs.
- Building resilient supply chains.
How to increase small business growth in 2025
If your growth rate feels stuck, these practical steps can help.
- Build an online presence (learn how to start here).
- Focus on customer retention and referrals.
- Track your performance with clear metrics and KPIs.
Boosting your small business growth rate
Here’s what successful owners are doing:
- Leveraging social media and email marketing campaigns.
- Outsourcing or automating non-core tasks.
- Expanding into new markets or product lines.
Economic outlook for small business growth
The economic climate plays a big role in how fast small businesses grow.
- Consumer spending is expected to rise steadily.
- Interest rates may stabilise, easing access to business loans.
- Government support programmes continue for startups and SMEs.
Conclusion: small business growth rate 2025
The small business growth rate 2025 is your reality check and your opportunity. Some businesses are thriving this year, others are stuck. The difference? Clear goals, smart decisions, and the courage to adapt fast.
Don’t just watch the trends. Take action, track your numbers, and focus on what actually drives growth for your business. And if you’re serious about scaling up but not sure where to start, BH Accounting can help you find the right tax and growth experts to guide you. Your next big leap could be one smart move away.
FAQ about small business growth rate 2025
What is a good small business growth rate in 2025?
A healthy growth rate for most small businesses is between 5% and 10%, but it depends on your industry and size.
How often should I track my growth rate?
It’s smart to review your growth metrics monthly and assess performance quarterly.
Can small businesses exceed 20% annual growth?
Yes, especially in high-demand sectors like tech or niche services, but it requires strong planning and execution.
What tools can help calculate growth rate?
Use spreadsheets or online calculators designed for SMEs to track revenue, customer base, and other KPIs.