Support Activities for Rail Transportation — Business Survival Rate

An estimated 74% of support activities for rail transportation businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 5.9%.

74%
5-Year Survival Rate
+10.7%
Net Growth Rate
549
Total Firms
39
Annual Firm Deaths

Is Support Activities for Rail Transportation a Good Business to Start?

With a 74% five-year survival rate, support activities for rail transportation 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 5.9% 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)6.6%
Exit Rate (closures)5.9%

Net positive: more businesses opening than closing (+0.7 pp spread).

Job Creation & Destruction

18.0%
Job Creation Rate
7.3%
Job Destruction Rate
+10.7%
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: 51,882 workers across 549 firms.

Want to know how much support activities for rail transportation businesses actually make?

See full revenue benchmarks for Support Activities for Rail Transportation →

Frequently Asked Questions

What percentage of support activities for rail transportation businesses fail?
Approximately 26% of support activities for rail transportation businesses fail within their first 5 years. The annual closure rate is 5.9%, with 39 firms closing permanently in 2023.
Is the support activities for rail transportation industry growing or shrinking?
The support activities for rail transportation industry is currently growing with a net job creation rate of +10.7% per year. New businesses are entering at 6.6% while 5.9% close annually.

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