While I’m on the topic of what makes a successful entrepreneur, I bring you a slide show with the results of an interesting study on the subject, though from a different angle. There are two quotes related to finance that I find interesting.
Entrepreneurs believe financing is important, but many find ways around relying on large equity investments. Those who receive venture capital value it more than those who don’t.
This is obvious but interesting none the less. Why would those who can build a business without giving away the farm see any upside in doing so if they don’t have to?
The most significant source of funding for all respondents (41% were running their first company) was personal savings. Even in subsequent startups, more than half of the entrepreneurs relied on personal savings.
So most of us are boot strappers, yet if you read the start-up news it seems like our kind barely exists. I wonder why…
I wish they would have defined what success meant and broke out the results by category. For example, it would be interesting to see how those who build highly profitable business differ in their views from those who think eyeballs are the new currency and go for a big exit.
(via The Making of a Successful Entrepreneur – BusinessWeek via Ken Nowack)
Written by Andy Parkinson
Finance, Success