sourcegrade

Where the numbers on this page came from

https://www.failory.com/blog/startup-failure-rate

Publisher
Failory
Graded
18 October 2026
Grader version
v0.10

secondary

secondary: at least half of the page's statistic and number claims are cited: by a link, a footnote, a source named from the grader's primary source list, or one of two page-level rules noted on the grade page.

13 of 20 statistic and number claims are cited (a link, a primary-list organization, or a footnote)

Grade C

C: at least 40% of checked claims trace. A claim is checked when the grader tried its first link: it read the page, could not fetch it, or found that the site's robots.txt rules it out. It traces when that link led to a primary page with the number, to a page on a primary-source site where the number was not found, or to another page that has the number.

grade C: 1 of 10 checked found on a primary page, 5 of 10 trace to a primary or intermediate (3 cite a primary host whose page does not show the number), 2 cite a source that could not be fetched

20 numeric claims on the page, 10 checked before caps

10 of 20 claims left unchecked

In the grader's line, "does not show the number" means the number was not found in the text the grader read from that page.

In the grader's line, "could not be fetched" also counts links the site's robots.txt rules out; the table says which.

13 of 20 statistic and number claims are cited.

Every claim the grader read
ClaimQuoteNumberAttributed toCited on the pageTraced to
c1 9 out of 10 startups fail (source: Startup Genome - the 2019 report claims 11 out of 12 fail). 9 out of 10 Startup Genome link
Page read; the number was not found in the text readhttps://startupgenome.com/
c2 7.5 out of 10 venture-backed startups fail (source: Shikhar Ghosh). 7.5 out of 10 Shikhar Ghosh link
Not requested: the site's robots.txt rules it outhttps://www.wsj.com/articles/SB10000872396390443720204578004980476429190
c3 2 out of 10 new businesses fail in the first year of operations (source: Bureau of Labor). 2 out of 10 Bureau of Labor link
A page on a primary-source site; the number was not found in the text readhttps://www.bls.gov/bdm/us_age_naics_00_table7.txt
c4 Only 1% of startups become unicorn firms like Uber, Airbnb, Slack, Stripe, and Docker (source: CB Insights). 1% CB Insights link
c5 The success percentage for first-time founders is 18% (source: Exploding Topics). 18% Exploding Topics link
Number found, on a page not on the primary source listhttps://explodingtopics.com/blog/startup-failure-stats
c6 20% failure rate until the end of the 1st year 20% Business Employment Dynamics report, Bureau of Labor link
A page on a primary-source site; the number was not found in the text readhttps://www.bls.gov/bdm/us_age_naics_00_table7.txt
c7 50% failure rate until the end of the 5th year 50% Business Employment Dynamics report, Bureau of Labor link
A page on a primary-source site; the number was not found in the text readhttps://www.bls.gov/bdm/us_age_naics_00_table7.txt
c8 Only 6% have shut down. 6% nobody named none
Not checked: no link to follow
c9 75% of venture-backed companies never return cash to investors 75% Shikhar Ghosh link
Not requested: the site's robots.txt rules it outhttps://www.wsj.com/articles/SB10000872396390443720204578004980476429190
c10 only 0.05% of startups get VC funding (Source: Fundable) 0.05% Fundable link
Not checked: the grade had reached its limits on page fetches and robots.txt reads
c11 Founders overestimate the value of the intellectual property before product-market fit by 255%. 255% Startup Genome Project link
Page read; the number was not found in the text readhttps://startupgenome.com/
c12 Startups that pivot 1-2 times have 3.6x better user growth and raise 2.5x more money. 3.6x Startup Genome Project none
Not checked: no link to follow
c13 1) Marketing Problems (56%) 56% Failory interviews of 80+ failed startup founders none
Not checked: no link to follow
c14 2) Team Problems (18%) 18% Failory interviews of 80+ failed startup founders none
Not checked: no link to follow
c15 3) Finance Problems (16%) 16% Failory interviews of 80+ failed startup founders none
Not checked: no link to follow
c16 4) Tech Problems (6%) 6% Failory interviews of 80+ failed startup founders none
Not checked: no link to follow
c17 industry experts believe the robotics startup failure rate is 99% (!). 99% industry experts (unnamed) none
Not checked: no link to follow
c18 One in six tech ventures end up in similar zombie conditions One in six nobody named link
Not checked: no figure in digits to look for
c19 Join 40,000+ founders. 40,000+ Failory none
Not checked: no link to follow
c20 Updated: January 12, 2026 January 12, 2026date, not in the cited count Failory none
Not checked: no link to follow
c21 the 2019 report claims 11 out of 12 fail 11 out of 12 Startup Genome link
Page read; the number was not found in the text readhttps://startupgenome.com/

The grader counted 13 of 20 as cited. This table marks 12. The other one was counted by a page-level rule that needs the page text, which is not kept: a named source counts as cited when a word of its name is in the page's title or opening lines and the page mentions results, earnings, revenue or a quarter (a rule meant for a company reporting its own results); or, on a news article, a number with no link and no source counts as from the one primary-list organization the article names.

Quotes are copied from the page, 25 words or fewer; an em dash inside a quote is shown as a hyphen. The page text itself is not kept. A hop page's text was searched up to the grader's text limit, so "not found" means not found in the text read.

What every kind and letter means

Kinds

primary
the page is the origin of its own numbers (a statistical agency, a journal, a filing, or a page that states its own study and sample).
secondary
at least half of the page's statistic and number claims are cited: by a link, a footnote, a source named from the grader's primary source list, or one of two page-level rules noted on the grade page.
repackaging
fewer than half of the page's statistic and number claims are cited.
content farm
the page carries three or more content-farm marks (such as no author, no date, unrelated topics, heavy ads) and under a quarter of its numbers have a link or a footnote.
unknown
the page could not be graded (robots.txt says no, the page could not be fetched, or it had too few claims).

Letters

A
the page is primary, or at least 90% of its checked claims were found on a primary page.
B
at least 70% of checked claims were found on a primary page, or at least 90% trace.
C
at least 40% of checked claims trace.
D
at least 10% of checked claims trace, or most checked claims cite a source that could not be fetched or that the site's robots.txt rules out.
F
under 10% of checked claims trace, with 3 or more claims checked.
no letter
a page that is not primary needs at least one checked claim for a letter, and a page of kind unknown gets none. An F needs 3 checked claims.

A claim is checked when the grader tried its first link: it read the page, could not fetch it, or found that the site's robots.txt rules it out. It traces when that link led to a primary page with the number, to a page on a primary-source site where the number was not found, or to another page that has the number.

The primary source list is a fixed list in the grader: 56 sites (statistical agencies, central banks, international bodies, survey houses, journals and preprint servers), the organizations behind them, and ADP's employment report.