Start A Business Or Buy A Business | Article Treasure Cove

Start A Business Or Buy A Business | Article Treasure Cove

Start A Business Or Buy A Business
Written by Business Maker on May 20th, 2010

Some interesting statistics were published by the Small Business Association, Office of Advocacy. This information can be useful in many ways if you are trying to decide to start a new business or buy an existing business.

For starters there are over 26.6 million small business operating in America. Expected growth in the coming year is to be around 627,000 new start ups. While during that same period there will be approximately 600,000 annual failures. In that same period about 45,500 of those businesses will file for bankruptcy. Over the last 15 years Small Businesses of America have created some 65% of all private sector employment in the U.S.

The question today is how does the risk of starting your new business today compare with the risk of buying a ongoing business. There are many contributing factors when looking to make that type of decision.Some of the following information should help you in that decision. Statistics show if you were to start a new business today, the odds of survival for the first two years are in your favor, 66% will survive while 35% will fail. For businesses that have made it to four years it becomes more difficult.The four year businesses will reverse the trend with only 35% surviving and 65% failing. What do these numbers say when looking at a business for sale at the two year old milestone or the four year old. This data should be considered when trying to decide which is the best fit for you. Again, there are many other details to be considered when doing your investigation.
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