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Introduction

Each year millions of people identify a business opportunity and try to translate the opportunity into a profitable business. Over one million new businesses are formed each year. The growth of small businesses is in response to changes in big businesses. Big businesses are becoming smaller and are limiting the products and services that they offer. Small businesses are being formed to fill these needs. Currently small businesses create more jobs annually than do large businesses.

Although owning and operating a small business may seem like a wonderful idea, let's look at the facts. According to the US Small Business Administration (SBA) over half of all new businesses fail within five years. If you own and operate your own small business, you will work more than forty hours per week. You probably will not have a retirement plan. You will not have someone to help pay your health insurance premiums. And you probably will not take any vacations for quite some time.

A future small business owner should look carefully at the characteristics of successful small business owners (entrepreneurs). The characteristics of success are:

* A desire for responsibility

* A preference for moderate risk

* Confidence in your ability to succeed

* Desire for immediate feedback

* A high energy level

* A need to accomplish goals

* Strong organizational skills

* A need for feelings of accomplishment and achievement

* A high degree of commitment

* A tolerance for uncertainty

* The ability to be flexible

* A desire to work hard

* Total dedication to the business

* A strong market demand for the product or services offered

* Luck

CONCLUSION

Owning a business is the dream of many Americans and managing one's own business can be a personally and financially rewarding experience. In the serious and complicated process of starting a business, there are certain questions that must be asked and answered. Then certain steps must be taken. This guide in conjunction with the other publications listed throughout this guide will assist you in converting your dream to a reality. If you have additional questions contact your local SBDC office.