The restaurant industry is massive, with roughly more than 1 million restaurants across the country ringing up 799 billion in sales each year, according to 2017 figures from the National Restaurant Association. However, the restaurant business is notorious for failure.
Some statistics put the food service business failure rates as high as 60% within the first year. The U.S. Bureau of Labor Statistics (BLS) puts the number of failed restaurants at closer to 17% within the first year.
According to the PERRY GROUP INTERNATIONAL, Restaurants and food service businesses that made it beyond a year, 70% failed within the next 3 to 5 years. Of those that made it beyond then, 90% remained successful and stayed in business longer than 10 years.