We hear a lot of numbers about survival rates, so it’s gratifying to see some quality statistics from Statistics NZ, via this MBIE infographic.
It measures 3 year survival rates, and to me three years is about the time it takes to figure out whether a business is going to enjoy sustainable growth or not. Obviously businesses that are successful are more likely to employee people, and with more people employed the chances of failure are a lot lower.
Start-ups can take faith from the 1-5 employees line, where 69% of these businesses are still alive after 3 years. Even for zero-employee new companies, like Powerkiwi or MyTours* over half survive for over three years.
So what’s stopping you starting a business and employing some staff? Chances are you will succeed.
*Until this year – we now have our first employee.