Landscaping Services — Business Survival Rate

An estimated 51% of landscaping services businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 12.7%.

51%
5-Year Survival Rate
+2.5%
Net Growth Rate
177,110
Total Firms
19,840
Annual Firm Deaths

Is Landscaping a Good Business to Start?

With a 51% five-year survival rate, landscaping services 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 12.7% 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.

Entry Rate (new businesses)14.4%
Exit Rate (closures)12.7%

Net positive: more businesses opening than closing (+1.7 pp spread).

Job Creation & Destruction

16.3%
Job Creation Rate
13.8%
Job Destruction Rate
+2.5%
Net Job Growth

The industry is adding jobs faster than losing them — a positive sign for both workers and new business owners looking to hire. Total employment: 2,158,013 workers across 177,110 firms.

Want to know how much landscaping services businesses actually make?

See full revenue benchmarks for Landscaping Services

Frequently Asked Questions

What percentage of landscaping services businesses fail?
Approximately 49% of landscaping services businesses fail within their first 5 years. The annual closure rate is 12.7%, with 19,840 firms closing permanently in 2023.
Is the landscaping services industry growing or shrinking?
The landscaping services industry is currently growing with a net job creation rate of +2.5% per year. New businesses are entering at 14.4% while 12.7% close annually.

Source: U.S. Census Bureau, Business Dynamics Statistics (2023). Survival rate estimated from annual exit rates.