Career moves - starting up a small business

Nation's Business, July, 1995 by Meg Whittemore

I recently lost my job as a corporate middle manager. I'm interested in becoming a small-business owner, but I need some information on the whole process before going farther with the idea. Can you help?

T.H., Wyckoff, N.J.

The ranks of entrepreneurs have grown to more than 12 million, partly as a result of the latest influx of refugees from corporations that have downsized, according to Jim Halloran, a professor of entrepreneurship at Muhlenberg College, in Allentown, Pa. But he points out that more than half of these businesses will fail within the first five years.

"Entrepreneurs tend to be confident, determined, and very goal-oriented by nature," says Halloran. "More of them would succeed if they would only take the time to do a business plan before getting involved in a business."

Halloran also points out that if you were a specialist in the corporate world, you will need to learn other skills to run your own business. He suggests taking courses in small-business management and entrepreneurship, which are frequently offered at local colleges and vocational schools.

For a practical manual on starting a small business and on the pitfalls surrounding its growth, try Strategies for Small Business Success (Penguin Group), by Jane Applegate. The paperback covers the personal aspects of getting started based on Applegate's own experiences in marketing her nationally syndicated column on small business.

Her book also covers management styles, financing, legal and insurance issues, and family commitments.

Priced at $12.95, the book is available in most bookstores or may be ordered directly from the publisher by calling 1-800-526-0275 and requesting ISBN No. 0-452-27352-8.