The economy in U.S if highly influenced by the performance of small and medium businesses, especially in terms of employment, as U.S small businesses are major contributers in terms of employment. This is confirmed by ADP Small Business Report, as October saw an increase of 21,000 private employment in small businesses having 50 or fewer employees. This rise was seen consecutively from past eight months. The services based small businesses were found to be largely contributing to the increase in employment.
The small businesses in goods based sector showed decrease in employment rate by 16,000 jobs, while the small businesses in service providing sector added 37,000 jobs in the month of October.
On the whole the private sector employment by both large and small and medium sized companies from both sectors ( goods producing and services providing), increased by 43,000 just in one month, that is from September to October, on a seasonally adjusted basis.