8165.0 - Counts of Australian Businesses, including Entries and Exits, Jun 2010 to Jun 2014 Quality Declaration 
ARCHIVED ISSUE Released at 11:30 AM (CANBERRA TIME) 02/03/2015   
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SUMMARY OF FINDINGS

  • There were 2,100,162 actively trading businesses in Australia in June 2014.
  • The number of actively trading businesses in Australia increased by 1% between June 2013 and June 2014.
  • The business entry rate increased from 11.2% in 2012-13 to 13.7% in 2013-14.
  • The business exit rate decreased from 14.0% in 2012-13 to 12.7% in 2013-14.
  • 61.7% of the businesses that were actively trading in Australia in June 2010 were still operating in June 2014.
  • Half of the businesses that started operating in 2010-11 were still operating in June 2014.

OF THE 19 INDUSTRY DIVISIONS
  • Construction had the most businesses operating in Australia in June 2014.
  • Electricity, Gas, Water and Waste Services had the fewest businesses operating in Australia in June 2014.
  • Accommodation and Food Services had the highest business entry rate in 2013-14.
  • Agriculture, Forestry and Fishing had the lowest business entry rate in 2013-14.
  • Public Administration and Safety had the highest business exit rate in 2013-14.
  • Health Care and Social Assistance had the lowest business exit rate in 2013-14.
  • Health Care and Social Assistance businesses were the most likely to survive from June 2010 to June 2014.
  • Public Administration and Safety businesses were the least likely to survive from June 2010 to June 2014.
Survival rates of businesses that started in 2010-11
Survival rates of businesses that started in 2010-11

OF THE STATES AND TERRITORIES
  • Counts of businesses mainly operating in Tasmania and South Australia reduced in June 2014 from June 2013, while all other states and territories increased.
  • The Australian Capital Territory had the highest business entry rate in 2013-14.
  • The Northern Territory had the highest business exit rate in 2013-14.
  • Businesses mainly operating in Tasmania were the most likely to survive from June 2010 to June 2014.
  • Businesses mainly operating in the Australian Capital Territory were the least likely to survive from June 2010 to June 2014.
Actively trading businesses by main state/territory of operation
Actively trading businesses by main state/territory of operation

OF THE INSTITUTIONAL SECTORS
  • Most businesses actively trading in Australia in June 2014 were unincorporated businesses owned and operated by the household sector.
  • Between June 2013 and June 2014, the number of non-financial corporations and financial corporations increased while the number of household sector businesses decreased.
  • The non-financial corporations sector had the highest business entry rate in 2013-14.
  • The household sector had the highest exit rate in 2013-14.
  • Non-financial corporations and financial corporations were more likely than household sector businesses to survive from June 2010 to June 2014.
  • Financial corporations that started operating in 2010-11 were the most likely to have still been operating in June 2014.
Institutional sector of actively trading businesses
Institutional sector of actively trading businesses

OF THE TYPES OF LEGAL ORGANISATION
  • Public sector businesses were the least common, with only 516 actively trading goods or services in Australia in June 2014.
  • Between June 2013 and June 2014, the number of actively trading companies and trusts increased while the number of actively trading sole proprietors, partnerships and public sector businesses each decreased.
  • The business entry rate was highest for sole proprietors in 2013-14.
  • The business exit rate was highest for public sector businesses in 2013-14.
  • Trusts were the most likely to survive from June 2010 to June 2014.
Type of legal organisation of actively trading businesses
Type of legal organisation of actively trading businesses

OF THE EMPLOYMENT SIZE RANGES
  • In June 2014, 61% of actively trading businesses in Australia had no employees, 27% had 1-4, 10% had 5-19, 2% had 20-199, and less than 1% had 200 or more.
  • Among businesses operating in both June 2013 and June 2014, there was net movement away from having 1-4 employees in June 2013 towards either having no employees or having more than 4 employees in June 2014.
  • The more employees an ongoing business had in June 2010 the more likely it would survive.
  • For a business that started operating in 2010-11, the more employees it had the more likely it would survive.
  • In 2013-14, business entry and exit rates were highest for businesses with no employees.
Business entry and exit rates by number of employees - 2013-14
Business entry and exit rates by number of employees - 2013-14
OF THE TURNOVER SIZE RANGES
  • In June 2014, most actively trading businesses had annual turnover under $200,000.
  • Among businesses operating in both June 2013 and June 2014, there was net movement away from having annual turnover of between $50,000 and under $2 million in June 2013, towards having annual turnover of either less than $50,000 or at least $2 million in June 2014.
  • The more turnover a business had in June 2010 the more likely it would survive.
  • Businesses that started operating in 2010-11 and had higher turnover ranges were more likely to survive.
  • In 2013-14, business entry rates were highest for businesses with annual turnover of between $50,000 and $199,999 and lowest for businesses with annual turnover of $2 million or more.
  • In 2013-14, business exit rates were highest for businesses with annual turnover under $50,000 and lowest for businesses with annual turnover of $2 million or more.
Business entry and exit rates by annual turnover - 2013-14
Business entry and exit rates by annual turnover - 2013-14