t 2.1.2: Business size distribution (sales) 40 40 34 30 30 % 20 17 15 20 10 9 10 7 5 2 10 0 00 + 0,0 £1 ,00 0,0 00 < £5 , 00 ,00 0,0 00 00 £5 0< £1 , 00 £5 £2 00 50 ,00 0< £5 00 ,00 0,0 ,00 0 0 ,00 50 0< £2 ,00 £1 0, 0 £5 00 00 <£ 1 00 ,00 0 0,0 00 <£ 5 00 £1 0,0 <£ 1 0, 0 00 0 Turnover Base: All businesses reporting turnover: n=3,411,149 (Unweighted: n=2,026) Chart 2.1.3: Business size distribution (profit margin) 30 30 20 20 18 17 % 18 20 15 12 10 10 0 0 <0% 0% <10% 10% <20% 20% <40% 40% <90% 90% + Profit margin Base: All businesses reporting profit margin: n=2,723,482 (Unweighted: n=1,574) When size is measured by total assets we find that about half of the businesses have assets less than £10k and about three-quarters have less than £50k. At the other end of the scale 2% have assets in excess of £5m. 2135:T642,Sector and Region The other two bases used for weighting the sample are sector and region and these are shown in the next two charts. Chart 2.1.4 shows the distribution of businesses by sector for those sectors included in the survey. It also shows the deliberate undersampling of those sectors with high proportions of firms and the over-sampling of firms from the smaller sectors. This was designed to achieve sufficient observations in each size-sector combination to permit grossing up the findings to the national population. Chart 2.1.5 shows that the achieved sample was also more evenly distributed across the regions than is the actual distribution of SMEs across the regions. This was done to permit some regional analysis of the survey findings that are presented throughout the report. Of course, the size distribution and industrial composition of SMEs differ across regions. The size distribution of firms also differs across industrial sectors. These effects are explored in the following tables. Chart 2.1.4: Distribution of businesses by industry 30 27 Weighted data 30 Unweighted data 25 25 21 20 20 20 17