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Startup Failure Rate and 80+ Other Startling Statistics About Startups

A great piece of research on startup statistics and trends:
Some highlights:

Startup Failure Rate Statistics

  • Incompetence, at 46%, is the most common reason why businesses fail, according to a Statistic Brain study.
  • The percentage of startups that fail after four years in the U.S. is over 50%.
    • CJ Note: see the details – so you can avoid the cliched, and incorrect meme: “90% of all startups fail”
  • 65% of entrepreneurs admit they were not fully confident they had enough money to start their business.
  • Of the startups surveyed, 58% started with less than $25,000 and one-third started with less than $5,000.
  • 71% of surveyed U.S. startups have successfully raised capital in 2018.
  • In 2019, 52% of U.S. startups expect their company’s next source of funding will be venture capital.
  • San Francisco and Silicon Valley account for 13.5% of global startup deals.

For more interesting facts and statistics about the startup landscape in 2019, check out SmallBizGenius’ comprehensive study and infographic.

Some highlights below:

 

 

 

See the complete post at

Startup Failure Rate and 80+ Other Startling Statistics About Startups.

 

 

Written by CJ Cornell

CJ Cornell

Serial Entrepreneur. University Professor. Software Engineer. Media Executive. Venture Capitalist. Researcher. Marketer. Advisor. Mentor. Author and Speaker. Founded or co-founded nearly a dozen companies in software, digital media and television.

For the past few years I’ve been Co-Director of the Knight Center for Digital Media Entrepreneurship and Professor of Digital Media & Entrepreneurship at Arizona State University, and the university’s first full time Entrepreneur-in-Residence. Currently Visiting Professor of Entrepreneurship & Innovation at New York Institute of Technology and Managing Director at Propel Ventures LLC.

 

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