COVID-19 produced a business boom. 2020 was a record year for business formation. Here are a few other stats that are important for Entrepreneurs.
- 80% of Small Businesses have no employees.
- Less than 2% have 20 or more employees.
- More than 50% of businesses fail by the 5th year in business.
- The number one reason businesses fail is due to lack of market demand for product or service.
Why is it important to understand the data from the Census, Department of Labor and other sources? Simply put, it will help you better understand macro economics and how that impacts your future success.
In my experience as an entrepreneur, in order to succeed you need lots of planning. While a business plan will not eliminate the risk of failing, it will definitely minimize the risk over time. In this episode, I’ll discuss ways you can create a scrappy business plan using tools like Gust.com and Strategyzer.
For more check out Episode 20.