If you are a seasoned business person, read many business books or have had any amount of business training, you have probably heard that 80-90% of all businesses fail within 5 years. I have been spreading this message for years partially because one of the reasons companies fail is lack of planning and in my case and reason for using this statement is due to lack of marketing planning.
As I was reading this morning I found another interesting fact that I had not heard before and I thought I would share it with you. There are roughly 28 million firms in the US. 96% of these companies create revenues of less than $1 million annually. Maybe this is a no-brainer, but I was surprised to think that only 4% reach the $1 million plus mark.
At this point we fall in the 96% group, but our goal is break this mark in the next 3 years. Is this possible, can we reach the top 4% of US companies? Well, we shall see. We do however have this as a goal to reach and only now do we realize how few people actually reach this mark.
1 in 10 reach the $10 million in annual revenue mark. That's .4% of all US companies. Why do you think so few make either of these marks? Do you think it also is lack of planning? Or is it something else like lack of leadership or as mentioned in Good to Great not having the right people on the bus or the right people in the right seats on the bus?
What goals do you set for your company? Where do you want to be compared to all other US businesses? Feel free to add your thoughts in the comment section below.