THERE WERE some revelations lurking in the data generated by the Kauffman Foundation’s Firm Survey, one of the
longest and largest studies ever
of privately owned startups.
Three researchers, Carmen Cotei
and Susan Coleman of the University of Hartford and Joseph
Farhat of Central Connecticut
State University, parsed the rich
data to see what effect things
like age, gender, and amount of
startup capital had on company
outcomes after five years. They
were a little amazed at what
they learned. For instance, intellectual property had no significant effect on survival or closure.
And they found no statistical
difference in the survival or closure rates between male- and
female-led companies. “This
really surprised us,” said Farhat.
“We haven’t been able to establish that definitively before.”
Time to check a few assumptions at the door when predicting startup winners and losers.
—KRIS FRIESWICK AND KRISTIN LENZ
THE NEW STARTUP
CLOSED CLOSED MERGED OR
AT FIVE YEARS, THAT WERE: MERGED OR ACQUIRED
CEN TER DO T
RATE OF TOTAL
at nearly the same obsession with youth.
; In the sample group, there
were three times as many
companies founded by men as by
women The rate of survival for .
each gender was nearly identical.
; e more There wer
or older in the founders 50
p than there sample grou
s in their 30s. were founder
20 - INC. - OC TOBER 2014