Theater Companies and Dinner Theaters — Business Survival Rate
An estimated 62% of theater companies and dinner theaters businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 9.2%.
Is Theater Companies and Dinner Theaters a Good Business to Start?
With a 62% five-year survival rate, theater companies and dinner theaters 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 9.2% 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.
Net positive: more businesses opening than closing (+5.8 pp spread).
Job Creation & Destruction
The industry is adding jobs faster than losing them — a positive sign for both workers and new business owners looking to hire. Total employment: 125,872 workers across 8,560 firms.
Want to know how much theater companies and dinner theaters businesses actually make?
See full revenue benchmarks for Theater Companies and Dinner Theaters →Frequently Asked Questions
- What percentage of theater companies and dinner theaters businesses fail?
- Approximately 38% of theater companies and dinner theaters businesses fail within their first 5 years. The annual closure rate is 9.2%, with 653 firms closing permanently in 2023.
- Is the theater companies and dinner theaters industry growing or shrinking?
- The theater companies and dinner theaters industry is currently growing with a net job creation rate of +7.6% per year. New businesses are entering at 15.1% while 9.2% close annually.
Source: U.S. Census Bureau, Business Dynamics Statistics (2023). Survival rate estimated from annual exit rates.