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  • Most overrepresented sources of startup capital:
    • Investment by venture capitalist: 5.6X
    • Business loan from a bank: 2.3X
    • Personal/family assets other than savings of owner(s): 2.3X
  • Median startup cost: $25,000 to $49,999
  • Number of establishments: 32,477
  • Total employment: 623,934
  • 5-year survival rate: 40.4%

While this industry includes large organizations responsible for prospecting, licensing, and operating extraction sites, the majority of establishments in this sector are subcontractors that handle specific support tasks connected with mining and drilling. Natural resource startups are attractive to venture capitalists because of the potentially lucrative returns that come with the territory. With that said, natural resource extraction is a game of odds, and the risks are high for new firms—just two in five companies make it to the five-year mark, the lowest survival rate of any industry on this list.

This article originally ran on news.lee.net.