Washington State Department of Services for the Blind

Quick Statistics*

Americans who are self-employed…

…Represent more than one out of five Americans. About 25 million Americans are self-employed.

…Generally earn more money than wage-and-salary workers. The median 1996 annual income for self-employed Americans was almost 7% higher than wage-and-salary workers.

…Typically work in more durable jobs. Only 13% of small businesses (those with less than 4 employees) close their doors within six years of start-up, compared to 60% of all U.S. firms.

…Increasingly are women, minorities, and people with disabilities.

*Based on the Bureau of Labor Statistics and March 1997 Census Bureau.

Every year, hundreds of thousands of people start their own businesses. There is no one personality type or educational level that predetermines which among them will make it. In fact, as history has shown, all types succeed and all types fail.

However, recent surveys suggest that successful entrepreneurs do share some personality characteristics, such as:

The motivation to achieve

The habit of doing hard work

Nonconformity

Strong leadership skills

Street smarts

Similar surveys also suggest that there are personality characteristics lacking in successful entrepreneurs, such as:

The habit of compulsive gambling

Excessive or unreasonable risk-taking

The decision to start a small business is a serious matter that should only be made after careful self-examination, counseling, and research. A strong desire alone is not enough. Prospective entrepreneurs should possess a clear and comprehensive understanding of what they are undertaking. They should have adequate knowledge about the business they have chosen as well as the responsibilities specific to business ownership. Therefore, sound preparation is the key to success.

A self-assessment of one’s strengths and weaknesses may be the best indicator of self-employment potential. To begin such an assessment, one might answer the following questions:

Am I a self-starter? Can I empower myself to develop my own projects, organize my own time, and follow through on the necessary details?

Do I get along well with a variety of personalities? Can I initiate and maintain positive working relationships with customers, vendors, staff, bankers, and other professionals, such as lawyers, accountants, and consultants? Could I handle in a reasonable and professional manner, a demanding client, an unreliable vendor, or an argumentative employee?

Am I a good decision-maker? Can I, independently and under pressure, consistently make rational decisions in a timely fashion?

Do I have the physical and emotional stamina to run a business? Are my body, mind, and spirit conditioned to withstand 12-hour workdays, six or seven days a week?

How well do I plan and organize? Will I be able to independently and efficiently organize financial information, inventory, schedules, and production?

Are my attitudes and drive strong enough to maintain my motivation? Do I have the energy to carry the business on my own from standstill to hectic schedules?

How will the business affect my family? Can I safeguard against most negative effects? Can I balance the demands of starting and running a successful business against the demands of healthy family life?