Linen Supply — Business Survival Rate

An estimated 60% of linen supply businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 9.6%.

60%
5-Year Survival Rate
+4.1%
Net Growth Rate
22,298
Total Firms
2,199
Annual Firm Deaths

Is Linen Supply a Good Business to Start?

With a 60% five-year survival rate, linen supply 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 9.6% 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)8.1%
Exit Rate (closures)9.6%

Net negative: more businesses closing than opening (-1.5 pp spread).

Job Creation & Destruction

14.4%
Job Creation Rate
10.2%
Job Destruction Rate
+4.1%
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: 257,610 workers across 22,298 firms.

Want to know how much linen supply businesses actually make?

See full revenue benchmarks for Linen Supply

Frequently Asked Questions

What percentage of linen supply businesses fail?
Approximately 40% of linen supply businesses fail within their first 5 years. The annual closure rate is 9.6%, with 2,199 firms closing permanently in 2023.
Is the linen supply industry growing or shrinking?
The linen supply industry is currently growing with a net job creation rate of +4.1% per year. New businesses are entering at 8.1% while 9.6% close annually.

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