Success in business is never automatic. It isn't strictly based on luck-although a little never hurts. It depends primarily on the owner's foresight and organization. Even then, of course, there are no guarantees. Starting a small business is always risky, and the chance of success is slim. According to the U. S. Small Business Administration (SBA), roughly 50 percent of small businesses fail within the first years.
Following are several reasons for small business failure:
* Lack of experience
* Poor planning
* Insufficient capital (money)
* Poor location
* Poor inventory management
* Over-investment in fixed assets
* Poor credit arrangements
* Personal use of business funds
* Unexpected growth
On the Upside
It is true that there are many reasons not to start your own business. However, for the right person, the advantages of business ownership far outweigh the risks.
* You will be your own boss.
* Hard work and long hours directly benefit you, rather than increasing profits for someone else.
* Earning and growth potential are far greater.
* A new venture is as exciting as it is risky.
* Running a business provides endless challenge and opportunities for learning.
What are you thoughts? Do you possess the needed skills, aptitudes, and behaviors to start a business and make it successful?
Do You Have What It takes to Start Your Own Business?
Learn the characteristics and habits of creative, successful entrepreneurs. Many highly successful entrepreneurs have similar traits and characteristics. Learn what these are and what you can do to improve on your own.
What Do Successful Entrepreneurs Have in Common?
* Desire for immediate feedback
* Strong drive to achieve
* High energy level
* Goal-oriented behavior
* Calculated risk taker
* Problem-solving skills
* Tolerance for ambiguity
* Strong integrity
* Highly reliable
* Personal initiative
* Ability to consolidate resources
* Strong management
* Organizational skills
* Change agent
* Tolerance for failure
* Desire to work hard
Many entrepreneurs also had a role model to influence them early on and parents who were entrepreneurs. Two traits necessary for successful entrepreneurs are creativity and innovation.
Dr. Dave Hale is the Founder & CEO of HiPer Solutions, a global business coaching and training firm. Dr. Dave is also the author of The High Performance Entrepreneur: 12 Essential Strategies to Supercharge Your Startup Business and Straight Talk from Corporate America's 10 Most Requested Speakers & Trainers. He can be contacted at http://www.HiPerEntrepreneur.com