Nashville Ranked Third for Business Longevity
A new study highlighted the city's net business growth despite recent closures of several local establishments.
Updated on Sept. 30, 2026 in Openings & Closings
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Nashville earned the third spot in the nation for business longevity according to a Squarespace study released in mid-September 2026. The analysis found that the city maintains a net business growth rate of 3.23%.
Why it matters
Understanding these metrics helps illustrate how the city balances high entry rates with the realities of economic shifts and business closures. This data provides a snapshot of the local commercial environment as owners navigate tax changes and market fluctuations.
Nashville achieved a 3.23% net business growth rate, calculated from a 12.26% entry rate against a 9.03% exit rate. The Squarespace study analyzed longevity trends across 19 distinct industries.
The players
Mayor O'Connell
He serves as the mayor of Nashville and recently recognized a local business for its longevity milestone.
Gift Horse
This retail shop located in East Nashville recently celebrated its 10th anniversary.
The details
While Nashville shows strong net growth, the local business community has faced headwinds from property tax reappraisals and rate increases. High-profile closures within the last year included Varallo's, 12South Taproom, and Burger Up.
Timeline
Mid-September 2026: Nashville received the business longevity ranking.
September 2026: Mayor O'Connell presented Gift Horse with a proclamation.
2025-2026: Nashville property reappraisals and tax rate increases occurred.
Market Landscape
The Nashville longevity rankings were derived using the U.S. Census Bureau's Business Dynamics Statistics, which provide the primary benchmark for comparing market stability across U.S. cities. This analysis aligns with broader efforts to quantify regional economic health through longitudinal commercial data.
Local shoppers may continue to see shifts in the retail landscape as business owners adjust to recent property tax reappraisals and rate increases. These economic pressures remain a significant factor for both new ventures and long-standing establishments in the area.
The takeaway
Nashville continues to demonstrate resilience in its business sector despite the closure of several well-known local brands. Entrepreneurs should stay informed on tax updates and property valuation trends to maintain long-term stability in the current market.
Further reading
For more on the local retail environment, visit Nashville Openings & Closings.
Source note: This article includes information reported by Axios.
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