Finish Carpentry Contractors — Business Survival Rate
An estimated 53% of finish carpentry contractors businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 12.0%.
Is Finish Carpentry a Good Business to Start?
With a 53% five-year survival rate, finish carpentry contractors is near the national average (~50%). This means roughly half of new entrants will still be operating after 5 years — typical business risk that rewards solid planning and execution.
The annual exit rate of 12.0% indicates moderate turnover. Success depends on differentiation, location, and operational efficiency rather than inherent industry advantages.
Entry vs. Exit Rates
Annual rate of new businesses opening versus existing businesses closing.
Net positive: more businesses opening than closing (+0.5 pp spread).
Job Creation & Destruction
The industry is adding jobs faster than losing them — a positive sign for both workers and new business owners looking to hire. Total employment: 850,639 workers across 109,078 firms.
Want to know how much finish carpentry contractors businesses actually make?
See full revenue benchmarks for Finish Carpentry Contractors →Frequently Asked Questions
- What percentage of finish carpentry contractors businesses fail?
- Approximately 47% of finish carpentry contractors businesses fail within their first 5 years. The annual closure rate is 12.0%, with 11,043 firms closing permanently in 2023.
- Is the finish carpentry contractors industry growing or shrinking?
- The finish carpentry contractors industry is currently stable with a net job creation rate of +0.8% per year. New businesses are entering at 12.5% while 12.0% close annually.
Source: U.S. Census Bureau, Business Dynamics Statistics (2023). Survival rate estimated from annual exit rates.