This study considers listed and unlisted small and medium-sized enterprises (SMEs) of the United States separately while developing one-year financial distress prediction model for them. Empirical analysis performed using discrete-time duration-dependent hazard rate modelling technique with logit link and a set of financial covariates suggest that, at any given age the survival (hazard) likelihood of listed SMEs is significantly higher (lower) than their unlisted counterparts. Although factors affecting financial distress of both listed and unlisted SMEs are almost identical, but there exist significant difference in their scale of effect in respective groups. Further, Average Marginal Effects of respective covariates for unlisted group of SMEs are strikingly higher than their listed counterparts, suggesting higher vulnerability of unlisted SMEs due to changes in financial ratios. Our findings support the view that stock exchange listing can relieve SMEs from external financing constraints, thus reducing their likelihood of financial distress.