For some, their goal is to work for the biggest companies in the world. They want the prestige that comes from working for Apple, Amazon, or Microsoft. But not everyone fits this mold. There are plenty of professionals who prefer to be involved in the growth of a smaller company.
But working for a big company or small company comes with its own unique set of advantages or disadvantages.
Big Company Pros and Cons
For the purposes of this article, we will define a big company as any company that has more than 500 employees.
Pros of a company that is bigger
The primary pros of working for a large company are pretty obvious: financial security, better benefits, and the prestige of working for a well-recognized and established brand.
In addition to financial security and prestige, working for a larger company also offers better career development opportunities. That is because bigger companies have the budgets to offer training and career development for their employees.
And finally, another big company pro is that working for a larger company offers greater job security. These larger companies are less likely to be severely impacted by economic downturns – meaning you are likely to still have a job when the economy takes a hit.
Cons of a company that is bigger
Despite all the big perks and job security, there are some significant drawbacks when working for a big company. And perhaps the biggest of them all is the bureaucracy. Large companies are notorious for their red tape and established protocols that make it difficult to explore new ideas (though there are some notable exceptions).
Another significant drawback to working with a big company vs. a small company is that it is harder to get ahead and stand out. A large company is very competitive, with lots of candidates trying to earn management-level and executive-level positions.
Lastly, it is hard to not just feel like a number when working with so many people.
Small Company Pros and Cons
For this article, we will define a small business as any company with fewer than 100 employees.
Pros of a company that is smaller
Freedom is perhaps the biggest small company pro. Small businesses tend to have flatter organizational structures, which offer employees more flexibility to try new roles and explore new ideas.
Another major benefit of working for a smaller organization is that you often feel closer to your projects because you are likely overseeing an entire project rather than managing a smaller portion of a project like you would at a bigger company.
Lastly, smaller organizations offer their employees a sense of community. You work closely with your peers, and as a result, develop meaningful relationships and connections.
Cons of a company that is smaller
One of the major downsides to working at a small company vs. a bigger company is the lack of resources and benefits. Smaller companies have less cash, so they must be more careful with how they spend their money. That often means they cannot provide the same benefits as the bigger companies.
Working with a small company vs a big company also comes with less job security. Smaller businesses are unstable, and at any moment the company could go bankrupt or get bought out.
Small company vs big company: which is for you?
There’s no right answer for everyone; it all comes down to personal preference. But knowing the pros and cons on each side can help you decide which type of company is best for you and your career.
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