Why startups fail?

WHY STARTUPS FAIL? Learn before you start. BUSINESS WITH BEST RATE BUSINESS WITH WORST RATE OF SUCCESS AFTER FIFTH YEAR OF SUCCESS AFTER FIFTH YEAR Plumbing, heating, air conditioning Religious organizations I Apartment building operators Single-family housing construction Vegetable crop productions mim Grocery stores Offices & clinics of medical EÚ Eating places doctors Security brokers and dealers Child day care services MAJOR CAUSE OF FAILURE 46% Incompetence Emotional pricing Living too high for the business Nonpayment of taxes No knowledge of pricing Lack of planning No knowledge of financing No experience in record-keeping 1% Neglect, fraud, disaster 11% Lack of experiences Carry inadequate inventory No knowledge of suppliers in line of goods or services 12% Others 30% Unbalanced experience or lack of managerial experience Poor credit granting practices Expansion too rapid BUSINESSES STILL OPERATING AFTER FIRST 3 YEARS Startups starting 75% Percent of startups still operating after first year 64% Percent of startups still operating after second year 56% Percent of startups still operating after third year Sources: http://www.statisticbrain.com/startup-failure-by-industry/ A StartupWorks