Rejoice, entrepreneurs, 2017 Marks the Highest Rate of Startup Business Survival in a Decade
Don’t believe the lie that most, up to 90% of new businesses fail in their first year. It’s not true. The facts are nearly the inverse. The SBA (Small Business Administration) Office of Advocacy reports that 79.9% of companies launched have succeeded, not failed, in the first year of operations.
These statistics are the highest rate of startup survival in a decade!
I was so tired of hearing the often quoted, yet false, statements of dismal new business failures that I created the infographic below to illustrate and celebrate the good news for small business owners.
America’s small businesses are the economic engine that creates the majority of new jobs, 61.8% annually. The power of small business is evident when you consider that during the last two recessionary periods new jobs were continually created by our nation’s small companies.
Annually about 400,000 new companies, or startups, are launched in America. They comprise 8% of the total small businesses.
In 2012, over 12.3 million firms were women-owned. This translates to 45% of all small businesses being fully, or partly owned by women.
Business owners who are also veterans own 2.5 million companies, 9.3% of all US firms.
Immigrant business owners comprise 14.4% of all firms, with a concentration in the industries of food service, transportation, warehousing and accommodations.
Over 8 million businesses are minority-owned, 29.3% of all US firms. These companies are 12% Hispanic-owned, 10% African America-owned, 7% Asian-owned and 1% owned by American Indians and Alaska Natives.
No longer do you need to let these false facts stop your entrepreneurial plans. Tired of reading boring charts and graphs that are hard to understand, check out my colorful image which communicates this good news visually.
References: sba.gov/sites/default/files/advocacy/SB-FAQ-2017-WEB.pdf