Do Small Businesses Have Short Lifespans? Only 11% of Small Enterprises Are Older Than 21 Years

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The structure of active legal entities in Kazakhstan is gradually shifting toward more mature businesses. As of the end of April 2026, the country had 442 thousand active legal entities, up 4.3% compared to a year earlier. At the same time, the figure still remains below the level of April 2022, when Kazakhstan had 487 thousand active companies.

The corporate sector continues to be dominated by relatively young companies. Nearly 165 thousand legal entities, or 37.3% of the total, have been operating for between one and five years. Another 91.6 thousand companies have existed for six to ten years, accounting for 20.7% of all active legal entities in the country. Thus, almost 58% of the market is represented by businesses younger than 10 years.

At the same time, the sector’s structure shows a noticeable increase in the share of more resilient and long-established enterprises. The number of legal entities older than 21 years increased by 14.6% over the year, rising from 45.1 thousand to 51.7 thousand companies. Their share in the overall structure grew from 10.7% to 11.7%.

The segment of companies aged 11 to 20 years remains relatively stable. In April 2026, Kazakhstan had 93.2 thousand such organisations, accounting for 21.1% of all active legal entities. Overall, nearly one-third of all companies in the country have already surpassed the 10-year mark.

At the same time, the number of very young companies under one year old remains relatively small. In April 2026, there were 40.5 thousand such entities, accounting for 9.2% of the total. For comparison, in 2023 the share of such organisations reached 12.7%, one of the highest levels in recent years. This may indicate a slowdown in the pace of new company creation and a growing role of already established businesses.

Do Small Businesses Have Short Lifespans? Only 11% of Small Enterprises Are Older Than 21 Years

Small businesses account for the overwhelming majority of legal entities in Kazakhstan. Out of 442 thousand active companies, 432.6 thousand — or almost 98% of the total — are small enterprises. The country has 6.9 thousand medium-sized enterprises and 2.5 thousand large companies.

The age structure of small businesses predictably mirrors — and effectively shapes — the overall national picture. The largest share of small enterprises falls into the category of companies operating for one to five years, with 164 thousand businesses. Another 90.5 thousand have been active for six to ten years. At the same time, part of the small business sector already consists of well-established companies: more than 47 thousand small enterprises have been operating for over 21 years.

Medium-sized and large businesses, however, are noticeably older on average. Among medium-sized enterprises, more than half — 3.6 thousand companies — have been operating for more than 21 years. For comparison, there are only 104 organisations in this segment that are less than one year old. A similar trend can be observed among large enterprises. Out of 2.5 thousand active large companies, more than 1 thousand have existed for over 21 years, while the number of young companies under one year old amounts to just 23.

Thus, as business scale increases, the average age of companies also rises. Large and medium-sized enterprises emerge far less frequently, although they tend to maintain their market positions for longer periods and form the most resilient part of the country’s corporate sector.

Do Small Businesses Have Short Lifespans? Only 11% of Small Enterprises Are Older Than 21 Years

The regional picture also highlights differences in the age structure of active companies. The largest number of legal entities older than 21 years is concentrated in Almaty, with 10.1 thousand companies, or almost one-fifth of all the country’s oldest enterprises (although the share of “old” businesses in the city’s total number of legal entities is not particularly high — more on this later). Another 3.8 thousand such organisations operate in Turkistan Region, while 3.6 thousand are located in Astana.

Northern and eastern regions stand out in terms of the share of mature businesses. In North Kazakhstan Region (2.3 thousand entities), companies older than 21 years account for 25.6% of all active legal entities in the region — the highest figure in the country. High shares are also observed in East Kazakhstan Region (2.7 thousand entities, or 22% of all active enterprises in the region), Abai Region (1.6 thousand, or 21.2%), Kostanay Region (2.6 thousand, or 20.6%), Akmola Region (2.7 thousand, or 20.5%), and Turkistan Region (20.5%).

Businesses in the country’s largest cities appear significantly younger on average. In Astana, companies older than 21 years account for just 4.4% of all active legal entities, compared to 8.4% in Almaty and 9% in Shymkent (2.2 thousand entities).

Do Small Businesses Have Short Lifespans? Only 11% of Small Enterprises Are Older Than 21 Years

Differences are also visible across sectors of economic activity. The most “aged” sector remains public administration and defence, where more than half of all active legal entities — 51.6% — have been operating for over 21 years. A high share of the oldest organisations is also observed in real estate activities (22.3%), agriculture (19.6%), and the arts, entertainment, and recreation sector (16%).

In industry, the share of companies older than 11 years also remains high. In manufacturing, enterprises aged 11 to 20 years account for 23.7% of active legal entities, compared to 24.9% in water supply and waste management, and 27.7% in professional, scientific, and technical activities.

The lowest share of “aged” enterprises is observed in information and communication, where only 4.8% of legal entities are older than 21 years, as well as in the accommodation and food services sector (5.4%) and trade (6%).

Overall, the data point to the gradual maturation of Kazakhstan’s corporate sector. Although the market continues to be dominated by young companies and small businesses, the share of enterprises with a long operating history continues to grow both regionally and across industries. The most resilient segments remain large companies, the public sector, real estate, and traditional sectors of the economy, while trade, services, and digital industries continue to renew themselves actively through new market participants.

Do Small Businesses Have Short Lifespans? Only 11% of Small Enterprises Are Older Than 21 Years