Startups in health sector most likely to succeed, research shows
Startup businesses in the health sector are the most likely to have the best chance of survival in their first year, according to research by Ormsby Street.
The research identified the sectors in which start-ups are most likely to still be operating five years after they were created.
Startups in the health sector were found to be the most likely to succeed past the first year, with 51.8 per cent of businesses still operating five years later.
Businesses in information and communications were found to have a good chance of survival, with 93.8 per cent of businesses surviving the first year.
Property start-ups and business administration startups were also amongst the type of businesses most likely to fail, whilst just 33.4 per cent of food and accommodation startups were found to be still operating after five years.
Ormsby Street Managing Director, Martin Campbell, stated: “The UK is becoming increasingly entrepreneurial, with people viewing working for themselves or launching a small business or startup as a viable and rewarding career option.”
He added: “There is no shame in a business failing – in the US it is almost seen a badge of honour to so and if it does happen then it should be used as valuable experience for the next venture.”