The most risky industries to start a business

New business creation has surged in recent years as the COVID-19 pandemic and its economic fallout have fueled intense interest in entrepreneurship: Since July 2020, new business filings in the U.S. have surpassed 400,000 in just two months. However, starting a business is still an inherently risky endeavor. Only about half of businesses survive the first five years after opening, and only about one-third survive ten years. While risk is inevitable in any new business, entrepreneurs in certain industries can expect a greater probability of survival. The researchers calculated a composite risk index based on the most recent one-, two-, three-, four-, and five-year survival rates for each industry body, and then ranked the industries accordingly.

Source link