In the last week, I had two separate conversations - one with a client, one with a friend - where the same reaction came up: surprise that I would recommend exploring career opportunities in a small business.

Both of them assumed that a move to a small business would be too risky. That it would look like a step down. That a large, well-known company would be the safer, smarter move for the long term.

This belief is common. But it’s also worth challenging.

Before we get into perception vs. reality, let’s ground this in actual data.

In Canada:

• Small businesses (1 - 99 employees) represent 98.0% of all employer businesses.
• As of 2022, they employed approximately 63% of the private sector workforce.
• Mid-sized firms (100 - 499 employees) employed another 24.5%.
  (Source: ISED Canada)

In the United States:

• Small businesses employ 45.9% of the private sector workforce - about 61.6 million people.
  (Source: U.S. Small Business Administration, 2023)

In both countries, small businesses are not niche. They are a core part of the economy and a major source of employment across industries.

So if nearly half (or more) of private sector jobs are in small businesses, why do we continue to treat them as the less legitimate path?

It’s easy to understand where the bias comes from.

Large companies tend to offer:

• Brand recognition (which can look strong on a résumé)
• Defined job levels and advancement paths
• Financial stability (at least on the surface)
• More formalized HR, benefits, and onboarding processes

In contrast, smaller companies are sometimes seen as:

• Less structured or predictable
• Less prestigious from a brand standpoint
• More reliant on individual contribution and initiative

The conclusion many people draw is that small businesses are inherently riskier. But the full picture is more nuanced than that.

Yes, some small businesses are early-stage or still finding product-market fit. But many are well-established, profitable, and steadily growing - just without the brand name recognition. Not every company with 50 employees is a volatile startup. Many have been around for 10+ years and generate steady revenue, with strong client bases and low turnover.

And it’s worth noting: large companies aren’t immune to layoffs, restructurings, or budget cuts. In fact, the headlines over the past 18 months have shown us that even global brands make sudden changes - and when they do, it’s not uncommon for thousands of roles to be impacted at once.

The truth is, career growth can happen faster in a smaller environment - particularly when you have access to broader scope, closer proximity to leadership, and opportunities to influence core parts of the business.

In smaller companies, employees are often given:

• More responsibility, earlier
• Greater visibility across functions
• Direct influence on results
• In some cases, access to profit-sharing or equity

We’ve seen professionals leave well-known brands to join small businesses, and within 2–3 years, they’re operating at a significantly higher level - leading teams, shaping strategy, participating in executive decisions. Not because they chased a title, but because they stepped into a business that needed their leadership, and they delivered.

A quick example: One client left a major consulting company where she’d plateaued in a manager role. She joined a small but growing firm in the hardware space - about 25 employees at the time. Within her first year, she was leading a team of 7. By the end of year two, she had been promoted to VP with ownership of the company’s go-to-market strategy. Today, she earns more than she did in her corporate role, with a compensation package that includes performance bonuses and long-term profit-sharing. Her role isn’t easier - but it’s significantly more aligned with the kind of impact and autonomy she wanted (and way less travel!).

Of course, this isn’t universal. Some small businesses are chaotic or unclear. So the real question isn’t whether a company is small or large - it’s whether the opportunity fits your goals, and whether the environment is set up for you to succeed.

If you’re evaluating a potential move, here are a few useful filters to consider:

• Is the business healthy? (Profitable? Growing? Diversified?)
• Is the role clearly scoped? (Do you know what success looks like?)
• Will you have influence? (Decision-making, not just delivery)
• Is there financial upside? (Bonuses, profit-sharing, or equity?)
• Do you trust the leadership? (Competence, vision, values)
• Does the culture align with your life? (Pace, flexibility, expectations)

When those answers are strong, size becomes just one variable - not the deciding factor.

Here’s where financial structure also deserves attention.

How compensation differs:

At large firms:

• Salaries are typically market benchmarked and stable (less room to negotiate due to set pay bands).
• Bonuses may be standardized and linked to company-wide performance.
• Equity is often limited to senior levels or distributed in small RSU grants.

At smaller firms:

• Salary may be more variable depending on growth stage.
• Bonuses can be directly tied to team or individual performance.
• There is often more room to negotiate for equity or profit-sharing - especially if you’re being hired into a strategic or leadership role.

While a small business may not always match base salary dollar-for-dollar, the total comp upside can be stronger when you’re closer to revenue, margin, or client impact. And in many cases, smaller teams are more willing to tailor roles, compensation, and growth plans to reflect your actual contribution.

This brings us to a summary worth spelling out clearly:

MYTH vs. FACT

Myth: Small businesses are unstable and risky
​Fact: Many are financially healthy and long-standing; they just operate without the brand recognition of larger firms.

Myth: Large companies offer more job security
​Fact: Large companies are subject to market cycles and layoffs too - often at scale.

Myth: You’ll grow faster at a large company
​Fact: In small firms, you often gain broader scope, faster promotions, and direct influence on business outcomes.

Myth: Brand names are critical for your career
​Fact: While helpful, brand names are not the only path to credibility. Delivering results and building relevant experience matters more over time (can't stress this enough!).

Myth: Compensation will always be lower at a small business
​Fact: Many small businesses offer competitive pay, especially when variable comp, equity, or performance-based bonuses are factored in.

The goal here isn’t to convince anyone that a small business is automatically the better choice. It’s simply to challenge the belief that bigger is always safer - or that brand recognition is what carries your career forward long-term.

If you’re clear on what you want to build in your career - and what you want your work to enable in your life - then it’s worth looking beyond the logo.

Thinking through a possible career transition?​
Click HERE to book a free Career Strategy Call. We’ll map out what kind of environment would best support your career, growth, and long-term goals. You'll leave with clarity on your next steps.

I have a few more spots this month - grab one while they last!

Until next week,

Beckie