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How To Be A Successful Startup

Most startups fail, so how can you put the odds in your favor? SCORE takes a look at what helps push a startup in the direction of success.

SCORE, the nation’s largest network of volunteer expert business mentors, has gathered statistics on successful startups, including why our country needs them and how small businesses can thrive.

Americans Have Positive View of Entrepreneurs

Entrepreneurs in the U.S. are viewed as having more opportunities for success and hold higher status than business owners in other developed countries.

  • 50% of Americans believe entrepreneurs have opportunities for success vs. 40% of residents in other developed countries.
  • 78% of Americans believe entrepreneurs hold a high status vs. 68% of residents in other developed countries.
  • 72% of Americans believe entrepreneurs aren’t deterred by a fear of failure vs. 63% of residents in other developed countries.

New Businesses Create the Most Jobs and Patents

Companies less than one year old have created an average of 1.5 million jobs per year for the past three decades. Between 2005 and 2011, small firms produced 15 times as many patents per employee as large ones.

Closings Have Exceeded Startups Since 2008

Creating a small business is still risky. The number of business startups in America has been declining for more than 30 years. Since 2008, the number of business closures has exceeded the number of business startups.

Tips for Successful Startups

Thriving new businesses share these characteristics:

  • 59% are more likely to have more than one founder.
  • 78% are more likely to have a formal business plan.
  • 58% of small business owners prioritize a work-life balance.
  • 70% of small businesses that receive mentoring survive more than five years; this is twice the survival rate of those who don’t receive mentoring.

Check out the graphic below to learn How To Be A Successful Startup:

SCORE