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Anders Isaksson and Vladimir Vanyushyn

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Heikki Rannikko, Erno Tornikoski, Anders Isaksson, Hans Löfsten and Hanna Rydehell

This chapter investigates the survival and growth trends in a cohort of new technology-based firms (NTBFs) established in Sweden in 2006. We make several contributions to the current understanding of NTBF survival and growth. First, our empirical observations show that many firms (70 per cent) from the 2006 cohort of NTBFs were still operating at the end of 2014, a much higher survival rate than found in previous studies. Second, very few firms experience high growth during their first seven years, and employment growth and sales growth are highly correlated among high-growth firms. Third, challenges of measuring growth in new and very small firms using the ‘kink-point’ approach are addressed.