There are 2.663 million businesses in Australia as of June 2024, ranging from self-employed people to large businesses with 200 or more employees.
Over the past decade, the number of businesses in Australia has been growing at a slow but relatively steady rate.
Finder analysis shows there has been a 34.4% increase in the total number of businesses in Australia between 2013 and 2024. This is despite a slight drop and plateau in business numbers in 2022, before they started increasing again.
There are 2.59 million small businesses in Australia, which make up the majority (97.2%) of all businesses in the country. This is based on the ABS definition of a small business as having fewer than 20 employees.
In the 2023–24 financial year, most businesses (91.6%) had a turnover of less than $2 million.
This includes 24.2% of businesses with a turnover of less than $50,000.
But, at the other end of the scale, businesses earning $10 million or more increased by 6.6%.
In the 2024 financial year, the number of businesses grew across all Australian states and territories, with a 16.8% entry rate and a 14% exit rate.
New South Wales saw the largest net increase in businesses, with 26,541 more businesses in 2024. Victoria followed with an increase of 18,893 businesses.
The Australian Capital Territory and Western Australia both had the highest percentage increase in businesses, growing by 3.5% in 2024.
It's worth noting that some businesses exiting the market may have been in operation for years before closing down.
There were 11,364 companies in various stages of insolvency at the start of the financial year 2025, according to data from the Australian Securities and Investments Commission (ASIC).
A total of 8,212 businesses entered into external administration or controller appointments for the first time between July 2024 and January 2025. This was an increase of 45.5% compared to the previous period.
KPMG Australia data shows a 30% rise in ASX-listed "zombie companies" over the past six months, increasing from 94 in March to 122 in October 2024.
Companies are typically considered "zombies" when they show signs of financial distress for a prolonged period but remain operational without being insolvent.
The total market value of these struggling companies has now reached $3.1 billion, a 9% increase from $2.9 billion in March 2024.
There are lots of different definitions of a zombie company but in basic terms, it means the business can keep the lights on and not much else. It also typically excludes startups and new businesses.
Australia's Big Four banks – ANZ, CommBank, NAB and Westpac – are among the biggest companies in Australia based on market capitalisation. Other prominent brands include BHP and Wesfarmers, which owns Bunnings, Kmart Group, Officeworks and a 50% share in Flybuys.
Source: ABS Australian industry data, earnings before interest tax depreciation and amortisation (2022-23)
Australian Bureau of Statistics latest figures showed businesses managed to retain overall operating profits in 2022-23, despite a decline of $2.1 billion (0.3%) in the period.
The largest rise in operating profit before tax was recorded by the Mining industry, up $57.2 billion (31.0%) while the largest fall was in the Rental, Hiring and Real Estate Services industry down $45.5 billion (44.8%).
The total outstanding value for business lending is $1.207 trillion according to analysis from the Australian Banking Association. While this figure has been gradually increasing since 2019, there was a big 19.5% increase in the total value of loans between March and April 2023.
This coincided with the Reserve Bank of Australia's decision to hold the official cash rate in April 2023. It was also 3 months after the Australian Prudential Regulation Authority (APRA) reduced capital requirements for SME loans from banks.
New loans for small and medium businesses have been increasing since September 2023, following a sharp drop at the start of the current financial year. In June 2024, new loans for small and medium business reached a peak at $26.3 billion.
Finder's credit card database includes market details for 82 financial institutions and over 250 cards (including charge cards). Some key details for business cards include:
As well as businesses using credit cards, most of them accept credit cards.
According to the Reserve Bank of Australia, 97% of retail merchants accepted card payments in 2022. And cash payments made up just 13% of all transactions.
An average of $300 billion worth of non-cash payments were made in 2023, according to the RBA. This makes it important for businesses to choose merchant services that give customers a choice in how they pay, while also keeping costs affordable.
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Hi.
Thank you for the report
If you don’t mind, can you show me detailed data on the annual sales of Small businesses (0–19 employees)?
Thank you.
Have a nice day.
Hi there,
This is all the data we have on business statistics right now, but we update our pages regularly. You may want to research the Australian Bureau of Statistics for more detailed information. Best of luck!