Women’s, Girls’, and Infants’ Cut and Sew Apparel Manufacturing — Business Survival Rate

An estimated 40% of women’s, girls’, and infants’ cut and sew apparel manufacturing businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 16.8%.

40%
5-Year Survival Rate
-7.1%
Net Growth Rate
3,332
Total Firms
544
Annual Firm Deaths

Is Women’s, Girls’, and Infants’ Cut and Sew Apparel Manufacturing a Good Business to Start?

With a 40% five-year survival rate, women’s, girls’, and infants’ cut and sew apparel manufacturing has a below-average survival rate compared to the national average of ~50%. This indicates higher risk of failure — new entrants face significant competitive pressure or challenging economics.

The annual exit rate of 16.8% is elevated. If you're considering entering this industry, ensure adequate capitalization, a clear competitive advantage, and realistic timeline to profitability.

Entry vs. Exit Rates

Annual rate of new businesses opening versus existing businesses closing.

Entry Rate (new businesses)10.4%
Exit Rate (closures)16.8%

Net negative: more businesses closing than opening (-6.3 pp spread).

Job Creation & Destruction

11.7%
Job Creation Rate
18.8%
Job Destruction Rate
-7.1%
Net Job Growth

The industry is losing jobs faster than creating them — which may indicate automation, consolidation, or declining demand. Total employment: 48,796 workers across 3,332 firms.

Want to know how much women’s, girls’, and infants’ cut and sew apparel manufacturing businesses actually make?

See full revenue benchmarks for Women’s, Girls’, and Infants’ Cut and Sew Apparel Manufacturing →

Frequently Asked Questions

What percentage of women’s, girls’, and infants’ cut and sew apparel manufacturing businesses fail?
Approximately 60% of women’s, girls’, and infants’ cut and sew apparel manufacturing businesses fail within their first 5 years. The annual closure rate is 16.8%, with 544 firms closing permanently in 2023.
Is the women’s, girls’, and infants’ cut and sew apparel manufacturing industry growing or shrinking?
The women’s, girls’, and infants’ cut and sew apparel manufacturing industry is currently shrinking with a net job creation rate of -7.1% per year. New businesses are entering at 10.4% while 16.8% close annually.

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