Fraser Valley Small Business Report 2026: the numbers behind your local economy

Most “small business statistics” you see online are national averages that tell an Abbotsford contractor or a Chilliwack farmer very little. This report pulls together the actual published numbers — from Statistics Canada, Innovation, Science and Economic Development Canada (ISED), BC Stats and the City of Abbotsford — into one picture of what small business looks like here in the Fraser Valley, and what those numbers mean for the owners running them. Every figure is cited to its source at the bottom.

The national picture: small business is the economy

As of December 2024, Canada had 1.10 million employer businesses. Of those, 1.08 million — 98.2% — were small businesses with 1 to 99 employees. Medium businesses (100–499 employees) numbered just 16,953, and large businesses (500+) only 3,380. On a broader count, Statistics Canada’s Business Register showed 1.38 million employer businesses in June 2025, plus another 3.59 million non-employer businesses earning over $30,000 a year — the sole proprietors, contractors and side operations that never show up in payroll counts. (The two figures differ because they are measured on different definitions and dates; both are cited below.)

Employment tells the same story. Small businesses employed 5.84 million Canadians — 46.6% of the entire private workforce — in 2024, and small and medium businesses together accounted for 63.6%. Five industries make up over half (57.5%) of all Canadian businesses: construction, professional services, health care, other services and retail — a list that maps almost perfectly onto the Fraser Valley’s economy.

British Columbia: a small-business province

BC had 170,512 small employer businesses in December 2024 — behind only Ontario and Quebec in absolute count, but ahead of both relative to population. BC Stats has long reported that small businesses make up about 98% of all businesses in BC, historically contributing around a third of provincial GDP and more than half of private-sector jobs, with the province ranking first in Canada for small businesses per capita (about 83 per 1,000 people in the province’s 2016 factsheet). BC also has one of the country’s highest self-employment rates — over 18% of total employment.

Two practical implications for owners. First, the provincial tax system is built around this reality: BC’s small business corporate rate is 2%, which combined with the 9% federal small business rate gives an incorporated BC business roughly 11% tax on its first $500,000 of active income — one of the strongest incentives in the country to incorporate once profits justify it. Second, with 3.59 million non-employer businesses nationally, the CRA’s $30,000 GST registration threshold and worker-classification rules touch a huge share of the people reading this.

Abbotsford–Mission: the fastest-growing corner of it

The Abbotsford–Mission census metropolitan area counted 195,726 people at the 2021 census — up 8.4% from 2016, well above the national growth rate. That growth is visible to anyone here: subdivisions in West Abbotsford, industrial build-out along the Sumas corridor, and trades businesses booked out months ahead. Population growth of that pace pulls construction, home services, health care and retail along with it — four of the five biggest small-business industries in the country.

And then there is farming. Abbotsford is one of Canada’s most productive agricultural municipalities, with farms producing roughly $990 million in annual farm gate receipts, spending $760 million on operating expenses and paying $277 million in wages and income. From 2005 to 2019 the sector grew at a compounded 3.49% a year after inflation — more than double the population’s 1.26%. Poultry, dairy, berries and greenhouses dominate, and each comes with its own accounting wrinkles — quota, inventory, AgriStability and payroll for seasonal labour. It is why we built a dedicated farm accounting practice here.

What the numbers mean if you own one of these businesses

• You are the median, not the exception. A one-to-ten-person company is not a “small” version of a real business — it is 98% of all businesses. Most tax rules that matter to you (the small business deduction, GST thresholds, payroll remittances, home-office rules) were written for exactly this size of company.
• Growth pressure is a tax event. An 8.4% five-year population surge means busier trades and rising revenues — which quietly pushes sole proprietors past the $30,000 GST threshold and past the income level where incorporation starts saving real money. The most expensive mistake we see is crossing those lines a year before noticing.
• Hiring is the next cliff. With small firms providing nearly half of private employment, most growing Fraser Valley businesses eventually face their first hire — and the employee-vs-subcontractor decision is a CRA audit magnet in construction and agriculture specifically.
• Farm economics are corporate economics. At $990 million in receipts against $760 million of expenses, margins are thin and the accounting decisions — inventory method, quota treatment, capital purchases — move real money.

Using this report

This page is maintained by EverStone CPA, an Abbotsford firm serving small businesses across the Fraser Valley. You are welcome to cite or link to this report; the underlying data belongs to the sources listed below, and we update the page as new releases come out. If any figure here has been superseded by a newer StatCan or ISED release, tell us and we will update it.

Figures are quoted from the sources above as of July 2026 and reflect each source’s own reference period and definitions. This report is general information, not tax or financial advice; please speak with a CPA about your situation.