According to statistics…
This is what the survival rate for all small businesses looks like:
- Almost 80% (four-fifths) of businesses will survive their first year in business. (The most recent data shows that of the small businesses that opened in March of 2015, 79.9% made it to March of 2016.)
- Around 66% (two-thirds) of businesses will survive their second year in business. (Data shows that of the small businesses that opened in March of 2014, 69.4% made it to March of 2016.)
- About 50% (one-half) of businesses will celebrate their fifth year in business. (Data shows that of the small businesses that opened in March of 2011, 51% made it to March of 2016.)
But what you really need to know is that about 20% of small businesses will fail in their first year, and 50% of small businesses fail in their fifth year.
These rates are consistent over time too. Suggesting that year-over-year economic factors. Surprisingly. Don’t have much of an impact on how many small businesses survive.
The takeaway here. Is that you can pretty much bet on a 80%, 66%, 50%, and 30% survival rate across 1, 2, 5, and 10 years in business. No matter what the year. And it’s important to note that this reflects all businesses in the private sector.
Well that’s GREAT NEWS for me because!!
Dateline: December 7th 2012.
Localad Services was officially born. And my first ever invoice was raised for the princely sum of just $150.
And that can only mean one thing… We can officially celebrate making it past the 5 year mark!!
What an amazing achievement.
And to celebrate I’m going to eat cake!!
In true Handyman style no less, check out those 5 awesome tool shaped candles guys.
And here’s to looking forward to the next five glorious years at your beck and call 🙂