Garage-based businesses have been a longtime obsession of this site — a short list includes Hiller Helicopter, Google, Apple, Amazon, Mattel, Hewlett-Packard, Lender's Bagels, and the company behind the Predator drone, as earlier coverage here and here and here explains.
The latest example comes courtesy of today's New York Times: Alpha Architect, a "$700 million asset management firm" run by an ex-marine, Wesley R. Gray, with seed funding from Edward J. Stern. The Times reports that "Mr. Gray still works out of his garage" in suburban Philadelphia.
There must be garage-based businesses that fail or that don't become huge successes. I'm not aware of any study that compares success rates for businesses that start in garages versus those that start in other places. But maybe there's also something about a garage that signals a likelihood of success. The proximity to the owner's home makes it easier for the owner to work long hours at the business, signifying it may be a passion.The low overhead signals that the business is conserving its resources for things other than renting fancy real estate. And the informality suggests a focus on substance rather than impressing people.