I’ve seen it firsthand. Friends launch small businesses — some fail, some barely survive, and a few actually make something out of it.

If we go by the stats, the odds are brutal. They say 1 out of 10 survives the first year.

But why?

First: Most “Small Businesses” Aren’t Really Businesses

They’re self-employment. And I’m not talking about that here.

If you’re a solo contractor trading time for money, you’re self-employed — not running a business.

A real business means:
– A structure — physical or digital
– Assets
– A legal entity
– At least one employee (even if that’s you for now)
– And most importantly… it generates income without your direct effort

If your income stops the moment you do, you don’t own a business — you are the business.

The Real Wall: Going from Self-Employed to Business Owner

Most “self-employed businesses” fail when they try to scale into actual businesses.

That’s when reality hits:
– Delegation
– Control
– Overhead
– Break-even turnover
– Cash flow nightmares

And the first real enemy? Insurance — the cost explodes once you hire people. It can crush you alone.

Next? Overhead — fixed costs are the death trap, even for Fortune 500s.

And finally, the silent killer: Growth.

Yes, growth can bankrupt you faster than zero sales.

Because growth demands everything — You have to:
– Set up controls
– Understand working capital
– Manage cash flow
– Maintain quality
– Handle people
– Create culture
– Build processes
– Track it all with boring, necessary accounting

All this… while being drained by the very growth you’re chasing.

If you don’t believe growth can destroy you, please — don’t start a business.

So… Can a Small Business Make It?

Yes. But it’s hard. Really hard. So hard that most people shouldn’t try.

To survive, you need a rare mix:
– Humble enough to learn fast
– Cocky enough to believe you can pull it off
– Wise enough to ask for help
– Clear-eyed enough to face the truth
– Hopeful, not delusional

If that sounds like you — start. But start smart.

Free Tool: Estimate What You’ll Need to Survive

Before you risk your savings or sanity, check this out:

👉 Free PDF: Estimating Startup Capital Kit (Gumroad): https://wececonomics.gumroad.com/l/bbtgb