In addition to publishing Entrepreneur, we also publish a
magazine (available on the newsstand only) called
Entrepreneur's Be Your Own Boss. It comes out three
times a year and is targeted to the start-up audience. For several
years, we've seen the newsstand sales of B.Y.O.B. steadily
rise. The last two issues have sold extraordinarily well at
bookstores across the country. What this says to me, hopeless
Pollyanna that I am, is that the number of business start-ups may
start rising as well.
As I've said so many times before, the last time the economy
was in such a funk, it was the millions of Americans who started
their companies in the early and mid-'90s that snapped us out
of it. Let's look at some numbers: From 1990 to 1991, the
number of new firms decreased nearly 7 percent. The number of new
incorporations declined 5 percent. In 1992, however, the number of
new incorporations was on the rise--increasing almost 7 percent.
And, while not quite keeping up that phenomenal pace, new
incorporations continued to increase throughout the decade.
Similarly, the number of businesses owned by women grew about 27
percent from 1990 to 1998.
Many of us who covered the entrepreneurial world then thought
the same thing would happen this time: that the hordes of newly
laid-off Americans would start their own businesses. So far,
according to all the numbers I've seen, it hasn't. In fact,
the percentage of self-employed Americans fell to 50-year lows last
year. But I hope (judging by the sales of our B.Y.O.B. magazines)
many Americans have now been bitten by the start-up bug.
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Yet another encouraging note for start-ups is a new study
released by the SBA. For many years, we've heard that 60 to 80
percent of new businesses end up failing within their first few
years of operation. Now we know that 67 percent of all new
companies are successful after four years in business.
So why am I telling you folks who are already established
business owners? Because you need to help. I know many of you will
claim you're too busy growing your own businesses to help
someone else start his or hers. And some of you will lament the
fact that no one was there to help you, so why should you
bother?
I'll tell you why. We've all seen the power you
entrepreneurs can wield, the jobs you create, the money you pour
back into your communities. We need more people just like you to
get out of the economic mess we're in. So, while I'm not
telling you to help someone start a competitive business, you
certainly can spare some of your time to share your experiences and
expertise with those who most need it. Volunteer to talk to a
college class. Join a local business or civics organization. Tell
your trade association you're willing to mentor someone in
another city or state. Become a member of a fledging business
owner's board of advisors.
As a business owner, you are often asked to donate money to
various causes. And while I'm certainly not telling you to stop
doing that, I am asking you to do more. Give of yourself. As Ralph
Waldo Emerson wrote, "The only gift is a portion of
thyself."