Small Businesses at the Heart of Edmonton’s Economy

New data from the City of Edmonton’s 2025 Business Census confirms what many residents see on their own streets every day: small businesses are the backbone of the local economy. According to the city’s third annual business census, 97% of all establishments (excluding public administration) are small businesses, defined as having fewer than 100 employees.

These firms power activity across Edmonton’s largest sectors, retail trade, real estate and rental and leasing, and health care and social assistance, together accounting for roughly 62% of all businesses and 43% of local jobs. For a city that prides itself on entrepreneurship and community, the census makes the picture clear: Edmonton’s prosperity is built from the ground up.

Who runs Edmonton’s business census, and how?

The City of Edmonton’s Economic & Environmental Sustainability branch oversees the annual Business Census and publishes the findings on the city’s website and open‑data portal. The 2025 report is the third annual census, continuing a program that began as a pilot and has since become a regular tool for tracking the local economy.

Data collection happens each year from May to August. Teams of local post‑secondary students visit commercial, industrial, and institutional areas in person, supported by online and telephone responses from businesses that prefer to report digitally. The census captures information such as:

• Number of employees
• Industry sector
• Business location and size

Whether the business is independent or part of a chain

Home‑based businesses are not included, which means the true number of small enterprises in Edmonton is likely even higher than reported.

How big is Edmonton’s small‑business community?

The 2025 Business Census counted 29,894 active businesses, out of roughly 38,000 city‑wide establishments, with the difference largely due to non‑respondents. Of the businesses that participated:

97% are classified as small (fewer than 100 employees).

They collectively employ about 575,000 people, representing a substantial share of all local jobs.

At the national level, federal statistics show that small businesses contribute around 35% of private‑sector GDP and, together with medium‑sized firms, generate nearly half of Canada’s economic output. Edmonton’s numbers are even more skewed toward small firms, underscoring how local growth depends on entrepreneurs, family‑run operations, and independent professionals.

For searchers looking up “Edmonton small business statistics” or “how many small businesses in Edmonton,” these figures highlight just how dominant small enterprises are in the city’s economic landscape.

Retail: The front window of Edmonton’s local economy

City data show that retail trade is the single largest sector by establishment count, representing about 18% of all Edmonton businesses. This category includes everything from independent grocery stores and boutiques to automotive parts dealers and specialty shops.

Many of these retailers are small, locally owned firms competing alongside national chains and e‑commerce platforms. Their impact goes beyond sales:

• • They anchor neighbourhood main streets and suburban plazas.
  • They provide entry‑level jobs and flexible part‑time work.
  • They keep spending circulating within Edmonton when residents choose local options.

The Business Census report notes that retail, along with accommodation and food services, forms a major component of Edmonton’s day‑to‑day commerce and is crucial for employment in many wards.

Real estate and rental: Linking people with places

Another standout sector is real estate and rental and leasing, which ranks among the top five sectors by number of establishments in the city. This category covers:

• Real‑estate brokerages and agents
• Property‑management firms
• Leasing companies for equipment and vehicles

In some areas of the city, real estate and rental businesses account for more than 15% of all establishments, reflecting Edmonton’s ongoing growth and demand for housing, commercial space, and industrial properties.

Small firms dominate this sector as well. Independent realtors, boutique brokerages, and local property managers provide the on‑the‑ground knowledge that buyers, tenants, and investors need to navigate neighbourhoods, zoning, and market trends.

Healthcare and social assistance: Community‑based care

The census also highlights health care and social assistance as a major contributor to Edmonton’s small‑business economy. This sector includes:

·         Family doctors’ offices and walk‑in clinics

·         Dental practices and orthodontic offices

·         Physiotherapy, chiropractic, and massage clinics

·         Child‑care centres and other social‑service providers

National SME data show that small and medium‑sized enterprises account for nearly 65% of GDP in Canada’s health care and social assistance sector, illustrating how dependent health systems are on smaller organizations. Edmonton’s results mirror this pattern: many front‑line services are delivered through modestly sized clinics and agencies rather than large institutions.

These businesses do more than provide treatment; they support high‑quality local jobs and keep essential services close to where residents live and work.

Why the census matters for businesses and residents

The City of Edmonton positions the Business Census as a planning tool, both for municipal decision‑makers and the business community. According to the city, the data help:

•    Target city services such as infrastructure upgrades, transit planning, and economic‑development programs to areas with growing or underserved business clusters.
•    Identify sector trends, including where new retail or health‑care capacity may be needed and which industrial areas are adding jobs.
•    Support local entrepreneurs, who can use the open‑data portal to map competitors, locate potential suppliers, and evaluate locations for expansion.

For residents, the census confirms that supporting local businesses, choosing a nearby retailer, working with a local realtor, or booking care at a community clinic, directly strengthens the sectors that employ most Edmontonians.

Challenges and opportunities for Edmonton’s small businesses

While the numbers are encouraging, the census also hints at challenges:

•    Many sectors are highly competitive, with numerous small firms competing in the same neighbourhoods.
•    Rising costs, commercial rents, wages, and input prices, pressure margins in retail and services.
•    Businesses must adapt to digital expectations, from online booking to search visibility, to reach customers effectively.

At the same time, the data reveal opportunities. Retail centres are evolving toward service‑based tenants such as health‑care and wellness providers, which may offer more stable demand than traditional brick‑and‑mortar retail alone. As Edmonton’s population grows, demand for housing, local amenities, and community‑based care is likely to increase, offering room for small firms to expand.

How residents can support the 97%

Given that small businesses represent 97% of Edmonton’s establishments and a large share of local jobs, the choices of residents and local institutions carry real weight. Practical ways to support this backbone of the economy include:

     Shopping local first when buying everyday goods and services.

     Choosing Edmonton‑based professionals for real‑estate, legal, financial, and health‑care needs.

     Leaving online reviews and recommendations, which improve visibility when people search for “Edmonton [service] near me.”

     Participating in city consultations on zoning, transportation, and small‑business initiatives, ensuring that policies reflect the needs of local entrepreneurs.

A city built on small business

The 2025 Business Census reinforces a simple but powerful story: Edmonton’s economy is overwhelmingly powered by small enterprises across retail, real estate, healthcare, and other service industries. With nearly 30,000 small businesses employing more than half a million people, the city’s future depends on their ability to adapt, grow, and continue serving their communities.

For readers of this local newsletter, the message is clear. When you support a neighbourhood shop, an independent realtor, or a community clinic, you are not just buying a product or service. You are investing in the 97%, the small businesses that keep Edmonton vibrant, resilient, and uniquely itself.