Telecommunications Resellers — Business Survival Rate

An estimated 57% of telecommunications resellers businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 10.5%.

57%
5-Year Survival Rate
-0.9%
Net Growth Rate
2,852
Total Firms
367
Annual Firm Deaths

Is Telecommunications Resellers a Good Business to Start?

With a 57% five-year survival rate, telecommunications resellers 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 10.5% 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)11.8%
Exit Rate (closures)10.5%

Net positive: more businesses opening than closing (+1.3 pp spread).

Job Creation & Destruction

15.1%
Job Creation Rate
16.0%
Job Destruction Rate
-0.9%
Net Job Growth

The industry is losing jobs faster than creating them — which may indicate automation, consolidation, or declining demand. Total employment: 65,222 workers across 2,852 firms.

Want to know how much telecommunications resellers businesses actually make?

See full revenue benchmarks for Telecommunications Resellers

Frequently Asked Questions

What percentage of telecommunications resellers businesses fail?
Approximately 43% of telecommunications resellers businesses fail within their first 5 years. The annual closure rate is 10.5%, with 367 firms closing permanently in 2023.
Is the telecommunications resellers industry growing or shrinking?
The telecommunications resellers industry is currently stable with a net job creation rate of -0.9% per year. New businesses are entering at 11.8% while 10.5% close annually.

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