Brazilians are earning more: increased purchasing power boosts small businesses

In the last quarter of 2024, the average income of Brazilians reached R$3,270 – the highest recorded in the country. The data is from the Emprego em Pauta bulletin, from the Inter-Union Department of Statistics and Socioeconomic Studies (Dieese). The result follows the good moment of the economy, which accounts for the growth of R$1.4% of the Gross Domestic Product (GDP) and is also good news for small businesses, which can earn more with the greater circulation of money in the hands of consumers.

The survey also highlights that, between 2022 and 2024, there was a 7.5% increase in the average income of employed people . The data also show that almost a third of those employed, in the last quarter of 2024, continued to receive, at most, the minimum wage.

Small businesses are a fundamental part of the Brazilian economy, because, on the one hand, they account for more than 95% of the CNPJs opened and are responsible for generating more than 60% of jobs in the country and, on the other hand, they benefit from the consumption of Brazilian families.

Decio Lima, president of Sebrae.

“They are men and women who face a market that was not made for them and use their creativity to bring jobs, income and inclusion,” he adds.

According to Décio Lima, this movement can strengthen local commerce, as small entrepreneurs tend to feel an increase in demand for their products and services. “When consumers have more resources available, it is natural for them to take advantage of small businesses in the neighborhood, increasing sales. It is a virtuous cycle in which everyone wins,” he guarantees.

The data tracks the opening of small businesses across the country. Of the more than 24 million companies operating in Brazil, half of them (12,017,846) are made up of individual microentrepreneurs (MEI) . The Services sector has the largest number of MEIs, with more than 6.5 million registered professionals. Next, Commerce has 3.2 million companies. Industry (1.1 million) and Civil Construction (1 million) have similar numbers.