The State of Small Business in Barbados

National Survey of the Small Business Sector (Barbados)

Table 3.2: Estimated Revenue using 2016 MSME report’s estimation approach Sector Size Sales per Employee (BDS) Total Employees

Estimated Revenue (BDS m)

Agriculture

Micro Small

158,000 96,200

336 513 852

53.1 49.4 28.6

Medium 33,600

Agriculture -Subtotal

131.1

Industry

Micro Small

952,200 126,100

854

813

1,724 4,408

217.4 364.6

Medium 82,700

Industry – Subtotal

1,395.00

Services

Micro Small

100,600 79,200

9,428

948.1

13,679 29,762

1,083.40 1,467.30 3,498.80

Medium 49,300

Services – Subtotal

≈ BDS 5,025 billion or BDS $5.03 billion ____________________ (BDS $4.90 billion, excluding agricultural sector)

TOTAL MSMEs

3.3 Annual Business Expenditure Business expenditure patterns broadly mirror the revenue distribution, reflecting relatively tight operating margins across much of the MSME sector. Among firms providing valid responses, 60.0 per cent reported total annual expenditures of less than BDS $100,000, closely aligned with the share of firms reporting revenues below that threshold. A further 14.5 per cent incurred costs between BDS $100,000 and $249,999, while approximately 25.5 per cent reported expenditures exceeding BDS $250,000.

Table 3.3: Annual Business Expenditure Annual Expenditure (BDS)

The concentration of firms at the lower end of the expenditure distribution suggests that many MSMEs operate with limited financial buffers and relatively small cost structures. While this may reflect lean operations, it also implies heightened vulnerability to cost inflation, demand shocks, and unexpected disruptions.

% of Businesses

Less than $100,000 $100,000 – $249,999 $250,000 – $599,999 $600,000 – $1.24 million $1.25 million – $2.49 million $2.50 million – $3.49 million $3.50 million – $5.49 million

60

14.5 11.6

8.4 4.3 0.6 0.6

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Small Business Association of Barbados