411 Small Business Facts

The Budget

The Budget, Volume 7, Issue 4, 2007

Data Collection Methods

The Budget, Volume 7, Issue 4, 2007

The data for this survey report were collected for the NFIB Research Foundation by the executive interviewing group of The Gallup Organization. The interviews for this edition of the Poll were conducted between July 10 - August 31, 2007 from a sample of small employers. “Small employer” was defined for purposes of this survey as a business owner employing no fewer than one individual in addition to the owner(s) and no more than 249. The sampling frame used for the survey was drawn at the Foundation’s direction from the files of the Dun & Bradstreet Corporation, an imperfect file but the best currently available for public use. A random stratified sample design is typically employed to compensate for the highly skewed distribution of small-business owners by employee size of firm (Table A1).

Almost 60 percent of employers in the United States employ just one to four people meaning that a random sample would yield comparatively few larger small employers to interview. Since size within the small-business population is often an important differentiating variable, it is important that an adequate number of interviews be conducted among those employing more than 10 people. The interview quotas established to achieve these added interviews from larger, small-business owners are arbitrary but adequate to allow independent examination of the 10-19 and 20-249 employee size classes as well as the 1-9 employee size group.

Table A1 Sample Composition under Varying Scenarios

Expected from  Random Sample*

Stratified Random Sample

Obtained from Stratified  Random Sample

Employee Size of Firm

Interviews Expected

Percent Distri- bution

Interview Quotas

Percent Distri- bution

Completed Interviews

Percent Distri- bution

1 - 9

10 - 19

20 - 249

593

82

75

79

11

10

350

200

200

47

27

27

351

201

200

46

27

27

All Firms

750

100

750

101

752

100

*   Sample universe developed from the Bureau of the Census (2002 data) and published by the Office of Advocacy at the Small Business Administration

About this poll

Cover of the report: The Budget

Volume 7, Issue 4, 2007
ISSN -

William J. Dennis, Jr.
NFIB Research Foundation