Upping the Odds of Startup Success

After debunking the myth that only one-in-ten startups succeed (the rate of success is more likely around 60-70%), Dan Kehrer offers us four key factors that improve the odds of new business survival:

  1. People. If you can afford to hire employees, do it. Well-staffed businesses have better survival rates than solo operations.
  2. Startup capital of at least $50,000. Not easy, perhaps, but businesses that start with less have higher failure rates.
  3. A college degree for the owner. Better yet, enroll in a college-based entrepreneurship program and learn the ropes before you get started.
  4. Home beginnings. To keep costs low, start initial stages of your business from a home office. Businesses that start this way and then move into bigger digs have higher success rates.