March 4, 2005: White Paper Reveals One Contractor In Five Closes Annually
DALLAS - An analysis of government data reveals an annual business closure rate of 20 percent among plumbing and HVAC contracting companies, according to a white paper published by the Service Roundtable.
"According to government statistics, there are roughly 200,000 plumbing and air conditioning contractors," stated Service Roundtable CEO Matt Michel. "Just over half are sole proprietorships or partnerships without a payroll. Our estimates are that nearly a quarter of non-payroll contractors close annually. Overall, one out of five close every year, only to be replaced by new starts."