BigDataCorp released the second edition of its study ‘CNPJs of Brazil,’ which analyzes the business landscape in the country. In March 2025, Brazil surpassed the mark of 64 million registered CNPJs, a number 7.72% higher than the same period the previous year. Looking only at active businesses, the growth was even greater: 16.11%, rising from 21.8 million establishments to 25.3 million. This rapid increase in the number of operating businesses demonstrates the dynamism of the Brazilian market, which continues to expand vigorously.
This expansion is especially visible in the micro and small business segment, which leads the movement. Individual microentrepreneurs (MEIs) grew by 20.90% in the last 12 months and already account for 78.74% of active CNPJs in the country. Small family businesses, which have two or more partners all from the same family, are the second-largest category, representing 9.75% of the total. Altogether, 88.49% of Brazilian organizations are micro or small family businesses, and the evolution of this type of business reflects significant transformations in Brazilian society and economy.
Transformation and Formalization of Work
Thoran Rodrigues, CEO of BigDataCorp, highlights that the observed growth is the result of two major trends in the market. ‘First, we have the strong phenomenon of the ‘pejotização’ of labor relations. In this context, many people who were previously employed with a traditional signed contract have transitioned to working as service providers, structuring their activities as businesses,’ he explains.
This transformation in hiring practices can be seen in the growth of companies declaring ‘sales promotion’ or ‘administrative support’ as their main economic activities. These two activities are commonly used by workers transitioning to a PJ (legal entity) model and were the most prevalent types of activities among new businesses. 6.76% of CNPJs opened in 2024 had one of these as their primary area of operation.
‘The formalization of small businesses, especially those linked to the so-called ‘gig economy,’ is the second major trend identified by the study. For example, we observed that various activities in the transportation sector, both passenger and cargo, had a higher-than-expected share in new business openings,’ Rodrigues adds.
Beyond the transportation sector, formalization is also evident in small commerce and essential services such as hairdressers and manicurists, segments that continue to show strong growth in the number of new businesses.
Business Mortality
Despite the overall growth in the number of active businesses, the study also revealed an increase in business mortality. Proportionally, more businesses closed their operations in 2024 than in any previous year, except for 2021, when the country was still dealing with the effects of the pandemic. A significant portion of this mortality is related to a return to economic normality.
For example, there was a disproportionate number of businesses in the food preparation for delivery sector, reflecting a contraction in a segment that had seen significant growth from 2020 to 2022. Throughout 2024, 1.66% of closed businesses operated in this area.
‘This acceleration in closures, when combined with the increase in openings, points to greater volatility in the Brazilian market, with businesses being less long-lived and more ‘,churn,’ concludes the executive.
