If you're searching for a new job this year, don't overlook openings at small businesses.
Throughout 2024, just over one-third, 37%, of all full-time jobs posted on Handshake, the career site for college students and recent grads, were for organizations with 250 or fewer employees, according to a recent report.
And those job openings are seeing increasing interest from young job-seekers.
Applications to small businesses on Handshake have increased over the last three years at roughly double the pace of applications to big companies.
Between September 2023 and September 2024, 39% of all applications submitted on the platform went to organizations with 250 employees or fewer — up from 32% for the same period the prior year, and 27% the year before.
More young workers are applying to small businesses
A tougher job market in recent years, especially for entry-level professionals, could be pushing recent grads to deprioritize big-name companies in favor of smaller employers, says Christine Cruzvergara, chief education strategy officer at Handshake.
Money Report
For example, interest among early talent has shifted away from big tech companies in recent years, which have made headlines for mass layoffs and return-to-office mandates.
In the last year, small businesses received an average of 44 applications for every opening, compared with 40 applications for every vacancy at a larger company.
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Some students are more interested in applying to smaller companies, including those who want to go into arts and design, communications and computer science.
How to stand out and get hired at a small company
Over the last year, small businesses were hiring in outsized numbers across marketing and media, where they comprised 61% of job postings, as well as in professional services (45%), technology (45%) and financial services (42%).
As for location, small businesses are hiring across the country, including smaller cities like Grand Rapids, Mich.; Lincoln, Neb.; and Missoula, Mont., according to Handshake, in addition to major metros like New York, Los Angeles, Atlanta and Detroit.
Many of the same job-search rules apply, and are perhaps more important, if you want to stand out as a candidate at a small company, Cruzvergara says.
"Tailor your application materials," she says. "Make sure it really comes across that you've done your research on them, and you're actually interested in working for them."
Showcase why you're eager to work for the company in your application materials, in your interview and through the types of questions you prepare for your interviewer, Cruzvergara says.
"I think that can really stand out to a smaller business," she adds. "The people that work there are going to have a stronger identity with the organization, and they often are looking for and want to work with colleagues who actually care to be there and will feel proud to work there."
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