Small Business Failure Rates
The following stats were recently released by the SBA’s Office of Advocacy:
1) Historically, small business creates 63 percent of new private-sector jobs
2) However, small business job creation has dropped to 60 percent since the end of the recession
3) Small business employs 50 percent of the workforce
4) About 10 to 12 percent of small businesses open each year and about 10 to 12 percent close
5) About half of all new small businesses survive five years or more and about one-third survive 10 years or more
Bonus Stat — Small businesses produce 16 times more patents per employee than large firms!