2002 Economic Census: FAQs for the Survey of Business Owners and Self-Employed Persons (SBO)

Survey of Business Owners and Self-Employed Persons (SBO) FAQs

resources graphic Resources for SBO list graphic List of all the SBO forms SBO Home Page

Questions

1.    What is this survey?

2.    Why is this a Census Bureau survey?

3.    Why ask now about 2002?

4.    Why ask about gender, race, and ethnicity?

5.    What Hispanic and race categories are used?

6.    Who uses the survey data?

7.    Why was I selected for this survey?

8.    Who was eligible for this survey?

9.    Are there penalties for not responding?

10.  Will my information be kept confidential?

11.   How long will it take to complete the SBO questionnaire?

12.  What if I don't have the information?

13.  What if I need more time?

14.  Where do I send my report?

15.  When will the 2002 results become available?

16.  What existing data can I get?

17.  How can I get more information?

Answers

1. What is this survey?

The Survey of Business Owners and Self-Employed Persons (SBO) provides unique information about the characteristics of American business owners and their business activities. It is a sample survey taken every 5 years as part of the economic census. The SBO publications combine survey and census data, and provide statistics that describe the composition of U.S. businesses by gender, race, and ethnicity. Additional statistics include owner's age, education level, veteran status, and primary function in the business; family- and home-based businesses; types of customers and workers; and sources of financing for expansion, capital improvements, or start-up.

2. Why is this a Census Bureau survey?

By law (Title 13 of the United States Code), the Census Bureau must take an economic census every 5 years and the SBO is part of the census program. Taking the SBO as part of the census allows survey data to be combined with census data and provides more complete and useful SBO statistics. The SBO publications include statistics on number of firms, sales and receipts, paid employees, and annual payroll, and separate presentations by geographic area, industry, firm size, and legal form of organization.

3. Why ask now about 2002?

The SBO requests 2002 information now in order to use the most up-to-date list of business names and addresses operating in 2002. Since the source of this list is business income tax returns, the survey sample cannot be selected until all records are available for 2002. The use of tax records delays the survey start until records are available, but reduces the number of survey questions and survey costs.

4. Why ask about gender, race, and ethnicity?

The SBO is the only source of statistics about the demographic characteristics of the approximately 23 million American business owners and self-employed persons, including their business organizations and activities. SBO statistics have been produced every 5 years since 1972, and have proven useful in helping to understand changes taking place in our dynamic and growing economy. SBO results have helped to profile census-to-census changes in business performance, highlight conditions of business success and failure, and compare minority-/nonminority- and women-/men-owned businesses.

5. What Hispanic and race categories are used?

The Hispanic origin and race categories listed on our survey questionnaire are consistent with those mandated by the Office of Management and Budget. These standards were developed by both the Executive and Legislative Branches of the Federal Government.

The Hispanic origin category is:

A person of Cuban, Mexican, Puerto Rican, South or Central American, or other Spanish culture or origin, regardless of race.

The race categories are:

American Indian or Alaska Native. A person having origins in any of the original peoples of North and South America (including Central America), and who maintains tribal affiliation or community attachment.
Asian. A person having origins in any of the original peoples of the Far East, Southeast Asia, or the Indian subcontinent including, for example, Cambodia, China, India, Japan, Korea, Malaysia, Pakistan, the Philippine Islands, Thailand, and Vietnam.
Black or African American. A person having origins in any of the black racial groups of Africa, including those who consider themselves to be "Haitian."
Native Hawaiian or Other Pacific Islander. A person having origins in any of the original peoples of Hawaii, Guam, Samoa, or other Pacific Islands.
White. A person having origins in any of the original peoples of Europe, North Africa, or the Middle East.

6. Who uses the survey data?

The SBO statistics are used routinely by government program officials, industry organization leaders, economic and social analysts, and business entrepreneurs. Examples of data use include those by:

The Small Business Administration (SBA) and the Minority Business Development Agency (MBDA) to assess business assistance needs and allocate available program resources.
Local government commissions on small and disadvantaged businesses to establish and evaluate contract procurement practices.
Federal, state and local government agencies as a framework for planning, directing and assessing programs that promote the activities of disadvantaged groups.
A national women-owned business trade association to assess women-owned businesses by industry and area, and educate other industry associations, corporations and government entities.
Consultants and researchers to analyze long-term economic and demographic shifts, and differences in ownership and performance among geographic areas.
Individual business owners to analyze their operations in comparison to similar firms, compute their market share, and assess their growth and future prospects.

7. Why was I selected for this survey?

You were randomly selected for the SBO sample to represent businesses in your industry and geographic area. The SBO is based on a small sample of business owners and self-employed persons who, like you, filed business-related tax forms for 2002. The use of sampling substantially reduces the reporting burden on selected businesses and lowers the survey cost; however, it also greatly increases the importance of receiving a report from each business selected.

8. Who was eligible for this survey?

Businesses were eligible to be selected for this survey if they reported any business activity on any one of the following 2002 Internal Revenue Service tax forms:

1040 (Schedule C), "Profit or Loss from Business" (Sole Proprietorship). Many self-employed individuals do not consider the activity reported on their Schedule C to be an actual business (for example, babysitter, sales representative, construction contractor, real estate agent, and so forth). Any activity reported on Form 1040 (Schedule C) meets the definition of a business for purposes of this survey.
1065, “U.S. Partnership Return of Income”
any one of the 1120 corporation tax forms

9. Are there penalties for not responding?

Yes. By law (Title 13 of the United States Code, Section 224), business owners and employees are required to complete economic census forms, including SBO forms, and return them to the Census Bureau. The same law provides for penalties of up to $500 for any failure to respond, and up to $10,000 for intentionally providing false information.

10. Will my information be kept confidential?

Yes. By law (Title 13, United States Code, Sections 9 and 214) your report to the Census Bureau is confidential. It may be seen only by persons sworn to uphold the confidentiality of Census Bureau information and may be used only for statistical purposes. The law also provides that copies retained in your files are immune from legal process. Census Bureau publications summarize responses so that the confidentiality of respondents and their business activities is fully protected.

11. How long will it take to complete the SBO questionnaire?

We estimate that it will take 10 minutes or less to complete the SBO questionnaire. Send comments regarding this burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to: Paperwork Project 0607-0902, U.S. Census Bureau, 4700 Silver Hill Road, Stop 1500, Washington, DC 20233-1500. You are not required to respond to any information collection unless it displays a valid approval number from the Office of Management and Budget. This 8-digit number appears at the top of the questionnaire. You may e-mail comments to Paperwork@census.gov; use "Paperwork Project 0607-0902" as the subject.

12. What if I don't have the information?

You may use reasonable estimates if your 2002 SBO form requests information that is not in your available business records. The Census Bureau has found that estimates from business officials are more accurate than industry averages or other estimates, and increase the reliability of statistics when combined with information from other similar businesses. If you want to clarify the survey request, discuss use of your available business records, or obtain help in preparing an estimate, please call 1-800-233-6132 Monday to Friday, 8 a.m. through 8 p.m. Eastern time.

13. What if I need more time?

We need to receive your completed 2002 SBO form by the due date printed on it, if at all possible. Your complete and timely response is needed for us to meet the growing demand for these widely used periodic statistics. However, if circumstances prevent your response by the due date, please contact us, tell us when you can respond, and we will try to accommodate your request. To contact us, please call our National Processing Center at 1-800-233-6132, Monday through Friday, between 8 a.m. and 8 p.m. Eastern time.

14. Where do I send my report?

Please send your completed 2002 SBO form to the U.S. Census Bureau in the envelope provided in your SBO mail package. Our mailing address is U.S. Census Bureau, 1201 East 10th Street, Jeffersonville, IN 47134-0001.

15. When will the 2002 results become available?

The first 2002 Economic Census results will be available in early 2004, with an early release of totals for all economic sectors right at the start. All results will be issued on the Internet and on CD-ROM within the following two years.

The 2002 SBO results will be released on a flow basis beginning in mid-2005. These data will be available in printed reports, on the Internet, and on CD-ROM.

16. What existing data can I get?

You can use the following Web sites to access the previous survey and the Economic Census results:

www.census.gov/csd/sbo contains:

geographic profiles and complete reports from the 1997 survey;
data that include number of firms, sales and receipts, number of employees, and annual payroll.

www.census.gov/econ97 contains:

complete details about the North American Industry Classification System (NAICS) and other topics;
geographic profiles and complete reports from the 1997 Economic Census.

17. How can I get more information?

Call 1-800-233-6132 Monday through Friday, 8 a.m. to 8 p.m. Eastern time. Our telephone staff can answer survey questions as well as provide you with additional forms and instructions. You can also send an e-mail to csd@census.gov.

Source: U.S. Census Bureau
Last Revised: 09/05/2003