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Top 20 Reasons Why Startups Fail

3 years 1 month ago

For anyone who launches a new venture, there’s a grim reality involved: eventually, 90% of startups bite the dust, and 51% of all businesses die off within a period of five years.

While failure is not fatal, there’s definitely no harm in stacking the odds in your favor in the first place. With some proper insight and critical thinking, the chance of a venture’s success can be increased by mitigating some of the most common startup risks.

That’s why it is not enough to know how many startups fail – we must know why startups fail.

CB Insights, a venture capital database, did their homework based on 101 startup postmortems to pin down causes on why startups failed. Here are the results in infographic form.
From; infographic by



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