Parking Lots and Garages — Business Survival Rate

An estimated 56% of parking lots and garages businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 10.9%.

56%
5-Year Survival Rate
+9.7%
Net Growth Rate
43,241
Total Firms
4,596
Annual Firm Deaths

Is Parking Lots and Garages a Good Business to Start?

With a 56% five-year survival rate, parking lots and garages 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 10.9% 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)18.1%
Exit Rate (closures)10.9%

Net positive: more businesses opening than closing (+7.2 pp spread).

Job Creation & Destruction

23.0%
Job Creation Rate
13.2%
Job Destruction Rate
+9.7%
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: 396,668 workers across 43,241 firms.

Want to know how much parking lots and garages businesses actually make?

See full revenue benchmarks for Parking Lots and Garages

Frequently Asked Questions

What percentage of parking lots and garages businesses fail?
Approximately 44% of parking lots and garages businesses fail within their first 5 years. The annual closure rate is 10.9%, with 4,596 firms closing permanently in 2023.
Is the parking lots and garages industry growing or shrinking?
The parking lots and garages industry is currently growing with a net job creation rate of +9.7% per year. New businesses are entering at 18.1% while 10.9% close annually.

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