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Breaking the Myths of Entrepreneurship

I have stumbled across the PowerPoint presentation of a New York University professor named Dr. Jeffrey Robinson entitled “Breaking Out or Breaking Through: Wealth Building through Entrepreneurship.”

The presentation has loads of information, but I liked best how he presented data and facts to shatter the common myths of entrepreneurship, as follows:

Myth 1: “I need lots of money”

Looking at the Inc. 500 companies (a list of the fastest growing private companies in the US), he found that many of the companies started with so little in terms of startup capital. The Inc. 500 data shows that:

• 13% of companies in the list started their businesses with less than $1,000
• 23% had about $1,000 – 10,000 in startup capital
• 12% had about $10,001 – $20,000
• 13% had about $20,001 – $50,000
• 12% had about $50,001 – $100,000
• 13% had about $100,001 – $300,000
• 14% had more than $300,000

A third (36%) started with less than $10,000 in capital yet grew fast to become part of Inc. 500! If these companies can do it, so can you.

Myth 2: “I am destined to fail”

Using data from the SBA, he looked at the percentage of businesses still in operation. The data for companies of all sizes (including solo entrepreneurs) shows:

• After 2 years, 76% of businesses are still ongoing
• After 4 years, 47%
• After 6 years, 38%
• After 8 years, 29%
• After 10 years, 21%

Sure, there’s risk and there’s fall out. But why can 21% survive 10 years in business and you can’t?

Myth 3: “All the good ideas are gone.”

According to the professor, the opportunities are here in

• Untapped markets
• Underserved markets
• Underdeveloped markets
• Unique perspectives

Read the PowerPoint presentation from Professor Robinson’s website