No matter how many hopes and dreams startups are built upon, most will have closed their doors within a few years. We identified reasons why American and Canadian businesses fail so often and how to avoid them with the help of a specialized start-up consulting agency such as STS.
Why Small Businesses are Taking It a Year at a Time
A small business is defined by the Small Business Administration (SBA) as one with 500 employees or less. That includes 99% of American and Canadian companies. Out of that large demographic, 21.5% fail in less than a year. 30% fail in the second year, 50% in the fifth, and 70% in the tenth. Only 25% make it to the 15th. 40% make a profit, and 30% break even.
66% of businesses experience potential failure within the first 25 months. There is a multitude of ways establishments can tank while they are young:
Save Your Business With Consulting
The stats are staggering, but our proven Start-up to Success consulting process is the light at the end of the tunnel. It’s an excellent time to start a business, as long as you give yourself a chance with the right resources. Our consulting provides you with a solid foundation to grow your establishment with added assurance insurance. So consider us your hand to hold around every corner.