Research - 05.05.2026 - 11:30
The latest “SME Study 2026” from the University of St.Gallen, compiled by the study’s authors Alexander Fust, Urs Fueglistaller, Thomas Züger, Christoph Brunner and Alexander Graf, reveals this picture. It shows that the strength of the Swiss economy lies not at the top, but in its interconnected diversity.
The fact that 99.7% of all companies are SMEs is now part of basic economic knowledge. What is more interesting is what this figure conceals: for SMEs are not a homogeneous sector, but a statistical umbrella term for completely different realities, ranging from a one-man consultancy to an export-oriented industrial firm with 200 employees. The study shows that economic substance does not arise in the middle, but at two poles:
The classic image of a stable middle class of firms falls short here. Switzerland functions rather as a network of many diverse units that collectively generate stability. “The Swiss economy is often perceived through its large corporations, but in reality, its stability stems from the breadth of small businesses,” says Alexander Graf. This breadth is a strength, but also a structural vulnerability.
More than one in two companies in Switzerland employs exactly one person. This is more than just a statistical curiosity. It is an expression of a profound shift: work is becoming more individualised, entrepreneurship more accessible, and business models more fragmented. These one-person businesses stand for:
But they also have clear limitations:
Economically, this paints a paradoxical picture: maximum flexibility at the micro-level, but limited impact at the aggregate level. Switzerland thus thrives on a form of “atomised stability” – many smaller units mutually offset each other’s weaknesses.
The figures are clear: three out of four SMEs operate in the service sector. Yet this apparent dominance is deceptive. For while services make up the bulk of the sector, a large part of the economic substance – such as in exports or productivity – remains in industry. This is evident in the structure:
This dichotomy shapes the entire economy; Switzerland is simultaneously a service economy in terms of breadth and an industrial nation in terms of depth. This makes it robust but also complex to manage.
Switzerland’s federal structure is particularly evident in the SME landscape. While large companies dominate in urban centres such as Basel-Stadt, regions like Appenzell Innerrhoden exist practically as pure SME economies with no significant large enterprises. These differences are not only geographical but also structural:
The result is not a uniform economic area, but a “mosaic of regional economies”. This sector-driven diversity increases the resilience of the overall system, but at the same time makes a uniform economic policy more difficult.
A look at the sectoral structure makes it abundantly clear just how little the term SME is standard. There is a world of difference between a one-person independent artistic enterprise and an industrial specialist with over 200 employees, and yet both fall into the same category. What is striking is the concentration of micro-enterprises in knowledge-intensive and people-oriented services such as consultancy, healthcare, property and the creative professions.
These sectors are high-growth but difficult to scale. In contrast, there are industrial sectors with significantly larger entities, higher capital commitment and greater internationalisation.
Only a fraction of SMEs export at all. And yet they contribute significantly to Switzerland’s international competitiveness; around 30% of export volume is attributable to SMEs. This is primarily thanks to medium-sized enterprises. Many of these firms combine specialisation, innovative strength and international niche strategies. They form the link between local roots and a global presence and are therefore strategically crucial for the Swiss economy.
Only around one in two companies survives the first five years. This figure puts the startup boom into perspective: many new firms are created, but just as many disappear again. The differences between sectors are significant:
This shows that entrepreneurship in Switzerland is accessible, but by no means risk-free.
The Swiss economy is not a system of a few major players. It is a network of hundreds of thousands of small units. This makes it resilient, adaptable and diversified. At the same time, however, it is fragmented, difficult to control and dependent on individual stability. Switzerland is economically strong because it is so fragmented, and that is precisely what makes it vulnerable.
Skills shortages, geopolitical tensions, increasing regulation and mounting cost pressures: for SMEs, these developments mean that predictability is declining. Their ability to adapt is becoming a core competence. SMEs are now operating in an environment that offers both more opportunities and more uncertainty than ever before.
The Swiss SME Study can be downloaded from obt.ch/kmu-studie-2026 or kmu.unisg.ch/kmu-zahlen.
About KMU-HSG
The Swiss Institute of Small Business and Entrepreneurship at the University of St.Gallen and OBT AG have been addressing the concerns and challenges of SMEs for decades, whether in research or in business practice. With this series of studies, based on the latest BfS figures, the authors offer added value to both entrepreneurs and society by providing an overview of SMEs in Switzerland and in an international comparison.
About OBT AG
OBT AG is one of the six largest firms in Switzerland in the field of fiduciary services, auditing and consultancy. OBT has been partner-owned since 1998, is a member of EXPERTsuisse and a state-regulated audit firm. As an independent member of the global Baker Tilly International network, OBT serves international companies in German-speaking Switzerland.
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