The entrepreneurial spirit remains strong across the U.S. Sixty-two percent of Americans dream of being their own boss, and even among younger generations—whose top career goals now include roles like YouTuber or TikTok creator—entrepreneurship still ranks high. For many, running their own business is a core part of the American Dream. It’s generally riskier than working for someone else, but those who succeed stand to earn more and gain some control over when, where, and how much they work.
Success is far from certain, or even probable, but you can boost your chances by weaving the following keys into your entrepreneurial journey.
1. You need a strong, distinctive business idea
Around 20% of small businesses fail within their first year, and roughly half don’t make it past five years. It may sound obvious, but to thrive, you need a solid, one-of-a-kind business idea. That doesn’t mean reinventing the wheel—your idea just needs to stand out in some way. Lean hard on your existing skills and passions: if you’ve been a chef for 20 years, opening a restaurant likely gives you better odds than starting a bookstore.
For your business to succeed, you either need to meet an existing consumer need better than competitors or identify/create a need that only you can fulfill. The latter is rare, but possible in certain markets. For example, I use a specific type of envelope to ship products—only one company worldwide makes envelopes with the exact thickness and size I need. Before this company existed, business owners used oddly shaped envelopes and stuffed them with cut-up cereal box cardboard to add thickness. This company spotted the need, created a solution, and now has no competition—either because the niche is too small to sustain more than one business, or no other companies have noticed the opportunity.
Most successful entrepreneurs excel at meeting existing needs better than others (or at least well enough to stay afloat). Some product and service markets are fiercely competitive, making it nearly impossible to break through. It’s smart to target less competitive markets where success is more feasible—but keep in mind: there’s often a reason those markets are less crowded. Opening a video rental store, for instance, might mean little to no competition, but it also comes with slim chances of success.
2. Don’t shy away from starting (and staying) small
You don’t have to dive headfirst into full-time entrepreneurship. Many businesses can start as side hustles while you keep a full-time job (as long as your employment contract allows it). A 2023 study found that 44% of new businesses began this way. Launching as a side hustle drastically lowers the stakes if the business fails—and if it does, having a steady full-time income makes it easier to pivot to a new idea.
Not everyone with a side hustle or small business aims to go full-time, either. There are clear perks to keeping a full-time job—like health insurance and a retirement plan—while earning extra cash from your side venture.
3. Be ready to put in long hours
Entrepreneurship isn’t all positives. You’ll likely work grueling hours with little to no pay, especially in the early days. Most businesses take a few years to turn a profit. This means you need enough savings or a full-time income to support yourself until the business becomes profitable—and you need to mentally brace for working extremely hard with little immediate reward.
4. Understand the complexity of growth
Suppose you’ve launched a business that’s profitable and brings in enough to support you and your family. Mission accomplished? Not quite. Entrepreneurship isn’t a straight path from “idea” to “success.” Even once you hit your version of success, more obstacles and complexities will pop up. If the business grows, you may need to hire more employees, fund benefits like health insurance and retirement plans to keep them, and pay for professional services to expand.
Growth brings more complexity, but you get to decide how much you want the business to grow. Maybe you don’t want the stress of managing more employees or locations, and you’re happy keeping things as they are. There’s no shame in maintaining (rather than growing) your business if it gives you the life you want.
Owning a business is more glamorous in theory than in practice, but for some, the rewards outweigh the costs. If you value independence, making workplace decisions, having control over your earning potential, and can handle risk, entrepreneurship might be for you. If you prefer the security of an established company, enjoy being part of a team over calling the shots, and want to avoid entrepreneurial risks, working for an employer is likely better. For many, the “best of both worlds” could mean a traditional job—with its security and benefits—plus extra income from a side hustle.
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4 Essential Tips for Launching a Thriving Business
2025-08-27T14:53:01
The entrepreneurial spirit remains strong across the U.S. Sixty-two percent of Americans dream of being their own boss, and even among younger generations—whose top career goals now include roles like YouTuber or TikTok creator—entrepreneurship still ranks high. For many, running their own business is a core part of the American Dream. It’s generally riskier than working for someone else, but those who succeed stand to earn more and gain some control over when, where, and how much they work.
Success is far from certain, or even probable, but you can boost your chances by weaving the following keys into your entrepreneurial journey.
1. You need a strong, distinctive business idea
Around 20% of small businesses fail within their first year, and roughly half don’t make it past five years. It may sound obvious, but to thrive, you need a solid, one-of-a-kind business idea. That doesn’t mean reinventing the wheel—your idea just needs to stand out in some way. Lean hard on your existing skills and passions: if you’ve been a chef for 20 years, opening a restaurant likely gives you better odds than starting a bookstore.
For your business to succeed, you either need to meet an existing consumer need better than competitors or identify/create a need that only you can fulfill. The latter is rare, but possible in certain markets. For example, I use a specific type of envelope to ship products—only one company worldwide makes envelopes with the exact thickness and size I need. Before this company existed, business owners used oddly shaped envelopes and stuffed them with cut-up cereal box cardboard to add thickness. This company spotted the need, created a solution, and now has no competition—either because the niche is too small to sustain more than one business, or no other companies have noticed the opportunity.
Most successful entrepreneurs excel at meeting existing needs better than others (or at least well enough to stay afloat). Some product and service markets are fiercely competitive, making it nearly impossible to break through. It’s smart to target less competitive markets where success is more feasible—but keep in mind: there’s often a reason those markets are less crowded. Opening a video rental store, for instance, might mean little to no competition, but it also comes with slim chances of success.
2. Don’t shy away from starting (and staying) small
You don’t have to dive headfirst into full-time entrepreneurship. Many businesses can start as side hustles while you keep a full-time job (as long as your employment contract allows it). A 2023 study found that 44% of new businesses began this way. Launching as a side hustle drastically lowers the stakes if the business fails—and if it does, having a steady full-time income makes it easier to pivot to a new idea.
Not everyone with a side hustle or small business aims to go full-time, either. There are clear perks to keeping a full-time job—like health insurance and a retirement plan—while earning extra cash from your side venture.
3. Be ready to put in long hours
Entrepreneurship isn’t all positives. You’ll likely work grueling hours with little to no pay, especially in the early days. Most businesses take a few years to turn a profit. This means you need enough savings or a full-time income to support yourself until the business becomes profitable—and you need to mentally brace for working extremely hard with little immediate reward.
4. Understand the complexity of growth
Suppose you’ve launched a business that’s profitable and brings in enough to support you and your family. Mission accomplished? Not quite. Entrepreneurship isn’t a straight path from “idea” to “success.” Even once you hit your version of success, more obstacles and complexities will pop up. If the business grows, you may need to hire more employees, fund benefits like health insurance and retirement plans to keep them, and pay for professional services to expand.
Growth brings more complexity, but you get to decide how much you want the business to grow. Maybe you don’t want the stress of managing more employees or locations, and you’re happy keeping things as they are. There’s no shame in maintaining (rather than growing) your business if it gives you the life you want.
Owning a business is more glamorous in theory than in practice, but for some, the rewards outweigh the costs. If you value independence, making workplace decisions, having control over your earning potential, and can handle risk, entrepreneurship might be for you. If you prefer the security of an established company, enjoy being part of a team over calling the shots, and want to avoid entrepreneurial risks, working for an employer is likely better. For many, the “best of both worlds” could mean a traditional job—with its security and benefits—plus extra income from a side hustle.