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Different criteria are used to classify businesses as small, medium and large in different countries and different government departments in the same country. The number of  employees is usually the main criteria in most countries. Companies with less than  100 employees are considered small businesses, companies with 100 - 500 employess are medium size businesses and  companies with more than 500 employees are large companies. This criteria is often used by the government labour department for classifying companies. 

However, with the increasing use of  automated systems, the number of  employees is often  not an indication of  the turnover of the company or its profitability. Some industries require a lot of capital investment initially for setting up fully automated manufacturing systems , but may require fewer employees when fully operational. So for financial purposes, companies are classified according to their turnover. The criteria varies from country to country depending on the economy and strength of  the local currency.

In most countries, small businesses are the major employers and contributors to the GDP (Gross Domestic Product).  However, their contribution is rarely highlighted by the mainstream media, which prefers to focus on the few large companies.