Back To Career News

What’s the Chance a Startup Business Will Fail? [infographic]


The decision to start a small business often stems from passion and the desire to fulfill a dream. However, reality can quickly set in, making it difficult to sustain. This infographic explores the statistics of success in startup businesses.

Sixty percent of independent restaurants and retail stores will fail within their first five years, while 50 percent of direct sales and consulting and business services will fail. As the years pass, those numbers continue to dwindle. Whereas in 1995 half of all businesses survived five years, by 2005 the survival rate fell to 47 percent. While that might not seem like a big deal, that 3 percent drop affects thousands of businesses in the grander scheme of things.

If you’re looking for a business that will be successful, the ecommerce area is a good bet. From 2012 to 2017, the projected revenue is expected to increase by 52 percent. Mobile gaming brings those numbers to an even greater high. During that same time period of 2012 to 2017, that industry is expected to increase its revenue by 173 percent.

Check out the infographic below for more insights on small business success and failure.

Do You Know What You're Worth?

Tell Us What You Think

We want to hear from you! Why do so many small businesses fail? Share your thoughts on Twitter or in the comments!

More From PayScale

How to Recover From a Bad Interview

Learn to Keep Your Clients Happy From the Restaurant Industry

Learn How To Get More Retweets [infographic]

chance a startup business will fail

(Photo Credit:

Marissa Brassfield
Read more from Marissa

Leave a Reply

1 Comment threads
0 Thread replies
Most reacted comment
Hottest comment thread
0 Comment authors
Joe Recent comment authors
newest oldest most voted
Notify of

Awesome post!

What Am I Worth?

What your skills are worth in the job market is constantly changing.