A large share of small businesses are young businesses.
51 percent of small businesses are 10 years old or less, and 32 percent of small businesses are 5 years old or less.
Source: US Census Bureau, Business Dynamics Statistics, 2014
Roughly a third of new businesses exit within their first two years, and half exit within their first five years.
New businesses that exit within...
1 year | 21.4% |
2 years | 31.4% |
3 years | 38.4% |
4 years | 44.0% |
5 years | 48.9% |
Note: Figures represent survival rates for businesses started in 2010
Source: Bureau of Labor Statistics, Business Employment Dynamics
The survival rate of new businesses has been remarkably consistent over time.
Source: Bureau of Labor Statistics, Business Employment Dynamics