Lessors of Nonresidential Buildings (except Miniwarehouses) — Business Survival Rate

An estimated 61% of lessors of nonresidential buildings (except miniwarehouses) businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 9.5%.

61%
5-Year Survival Rate
+2.5%
Net Growth Rate
86,663
Total Firms
9,235
Annual Firm Deaths

Is Lessors of Nonresidential Buildings a Good Business to Start?

With a 61% five-year survival rate, lessors of nonresidential buildings (except miniwarehouses) has an above-average survival rate compared to the national average of roughly 50%. This makes it a relatively safe industry to enter — businesses here tend to find stable demand and sustainable economics.

The annual exit rate of 9.5% is lower than many sectors, suggesting that once established, these businesses have staying power. That said, lower failure rates often correlate with higher barriers to entry or established competition.

Entry vs. Exit Rates

Annual rate of new businesses opening versus existing businesses closing.

Entry Rate (new businesses)11.1%
Exit Rate (closures)9.5%

Net positive: more businesses opening than closing (+1.6 pp spread).

Job Creation & Destruction

16.8%
Job Creation Rate
14.4%
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: 585,782 workers across 86,663 firms.

Want to know how much lessors of nonresidential buildings (except miniwarehouses) businesses actually make?

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Frequently Asked Questions

What percentage of lessors of nonresidential buildings (except miniwarehouses) businesses fail?
Approximately 39% of lessors of nonresidential buildings (except miniwarehouses) businesses fail within their first 5 years. The annual closure rate is 9.5%, with 9,235 firms closing permanently in 2023.
Is the lessors of nonresidential buildings (except miniwarehouses) industry growing or shrinking?
The lessors of nonresidential buildings (except miniwarehouses) industry is currently growing with a net job creation rate of +2.5% per year. New businesses are entering at 11.1% while 9.5% close annually.

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