Celebrating Small Business Saturday: Private Equity Powers America’s Small Businesses
‘Eighty-five percent of private equity investment goes to businesses with fewer than 500 employees.’
Ahead of Small Business Saturday on November 29, the American Investment Council is proud to celebrate the entrepreneurs and workers who power Main Streets across America. Throughout the holiday season – and all year long – private equity helps small businesses grow, innovate, and create jobs in communities nationwide.
Here’s how private equity is helping small businesses thrive:
- This year, private equity has invested in the long-term growth of more than 21,000 businesses.
- Eighty-five percent of private investment goes to businesses with fewer than 500 employees.
- Private equity-backed businesses directly employ more than 1.6 million workers across the U.S. economy.
- Workers at private equity-backed businesses also earned an average of $85,000 in wages and benefits in 2024 – a roughly 6 percent increase from 2022.
Empowering Entrepreneurs
AIC recently released a video series highlighting private equity’s impact by sharing stories from two up-and-coming small businesses: Van Leeuwen Ice Cream and Little Sesame. These small businesses partnered with private equity to expand their footprints, reach new customers, and turn big ideas into thriving national brands.
Investing in America
Private equity is also strengthening America’s manufacturing base. In Missouri, aeration solutions manufacturer Environmental Dynamics International (EDI) has expanded operations, hired additional workers, and entered new markets with support from AIC member KKR.
Similarly, Pennsylvania-based health supplement manufacturer Pharmaloz received $3 million in early 2025 from a private equity partner to expand its manufacturing capabilities. America’s small manufacturers – like EDI and Pharmaloz – benefit significantly from private equity investment, which allowed them to support more than 296,000 U.S. jobs in 2024 alone.
As Americans shop local this weekend, we celebrate the small businesses that bring growth and opportunity to communities across the country, and the private equity partners that help empower them to reach their full potential.
To learn more about how private equity supports small businesses nationwide, visit:
investmentcouncil.org/smallbusiness
