Number of small medium-enterprises (SMEs) in Spain 2018, by size

The overwhelming majority of small and medium-sized enterprises are micro, meaning that they employ fewer than ten workers. There were over 15 thousand medium-sized firms, meaning 50 to 249 employees. However, the 2.6 million micro firms had a higher number of persons employed than their larger counterparts.

The impact of SMEs in the Spanish economy

SMEs gave the Spanish economy over 300 billion euros per year in value added . In a country where the gross domestic product, or size of the country’s economy, is roughly 1.2 trillion euros, these smaller firms have a significant economic impact on the overall economy.

SMEs and employment

In addition to benefitting the country through added economic growth, they also provide jobs. In recent years, the unemployment rate in Spain has been persistently high. One option for new jobs is to start new companies. Unlike a large incumbent firm, a startup is often able to pivot quickly to provide the most in-demand products and services, which may be in part why Spain’s economy relies so heavily on SMEs.