Business owners lead and manage their own small companies and corporations. These businesses can include bookstores, art shops, medical coding firms, attorney firms, computer firms and employment coaching agencies. The owner is responsible for budgets, hiring, accounting duties, short term and long term planning for growth and purchasing supplies. Small-business owners must keep the company's prices competitive. The owner's salary varies according to years of experience, employer type, company size, city and state, gender and amount of sales expected each year.
Average Salary by Years of Experience and Gender
According to a 2009 PayScale survey, a female small-business owners’ average annual salary is between £16,250 and £45,500. A male small-business owners’ average salary falls between £32,500 and £65,000 per year. The average annual salary of an owner with one to four years' experience is £22,750; five to nine years' experience, £26,000; and 10 to 19 years' experience, £29,250.
Average Salary by Employer Type
Employer types include self-employed owner companies, franchise owners and owners of private practice companies. Self-employed company owners, make a salary between £26,000 and £65,000 per year according to the 2009 PayScale survey. Franchise-owned companies' owners make and annual average salary between £32,500 and £78,000; and private practice owners are paid between £52,000 and £117,000 per year.
Average Salary by City
Business owners in Houston have a median salary between £39,000 and £117,000 annually; owners in New York have the highest paying salary of between £39,000 and £130,000 per year. These are 2009 figures provided by PayScale.
Average Salary by State
Per PayScale, Texas, Illinois and California have the highest paid average salaries for a business owners. Texas is between £39,000 and £78,000, Illinois is between £32,500 and £110,500, and California is between £32,500 and £104,000 per year. These salaries are throughout the market for all types of businesses in these states in 2009.
Average Salary by Company Size
According to PayScale, the highest salary for a small-business owner at a company with between 200 and 599 employees was from £32,500 to £146,250 in 2009.
Average Salary Based on Sales
If the company had annual sales of up £64,999 the salary was as low as £39,000 annually, according to the 2009 PayScale survey. If the sales were between £65,000 and £1,235,000 per year the lowest average salary was £52,000 annually.