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Our smallest businesses: how the quiet army of sole traders is redefining work

17 0
26.01.2026

Australia's economic narrative often spotlights big corporates and high-profile startups. Yet, beneath that glare lies a quiet army of sole traders - the smallest of small businesses - who are indispensable to our nation's prosperity and community wellbeing.

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Recent analysis by the Australian Small Business and Family Enterprise Ombudsman of customised integrated administrative data in the ABS' DataLab reveals how these enterprising women and men shape their working lives with remarkable flexibility - blending employment, enterprise, caring roles and community contribution in ways that reflect the real rhythm of modern Australia.

It's time policymakers gave these enterprising women and men the recognition and tailored support they deserve.

The Ombudsman's analysis reveals a diverse, dynamic and growing cohort that sits at the heart of Australia's economic activity. Sole trading is no longer a sideline or an outlier. It has become one of the most common ways Australians participate in business - whether through skilled and professional services, small and pop-up/occasional retailing, creative work, trade-based activity, transport and logistics, care roles or community based enterprises.

This evolution matters, because policy settings built around old assumptions risk missing the rapidly evolving reality of how Australians now work and earn.

Young Australians, culturally and linguistically diverse entrepreneurs, older women and career switchers are increasingly shaping sole trader activity. Many are balancing enterprise with caring responsibilities or managing long term health conditions. Others are stepping into new industries, supporting essential services or filling gaps in their local communities.

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