“You need money to make money,” the old saying goes. Now a Gallup survey concludes that startups around the world agree.
Would-be entrepreneurs who have access to capital are three times more likely to say they are planning to start a business in the next 12 months than those who don’t have money. (Click on the chart below for a larger view.)
In a Gallup survey of more than 10,000 people in 98 countries, 20% of residents in sub-Saharan Africa are most likely to be planning to start a business. Even more of those would-be entrepreneurs (39%) who also have access to capital are planning to start a business.
By comparison, only 7% of U.S. and Canadian residents are planning to start a business; 9% of those with money.
“Having access to money does not seem to be as important in the developed part of the world,” Gallup said.
“In the U.S. and Canada, those who say they have access to money to start a business are not much more likely than those who don’t to say they plan to start a business in the next 12 months.”
Men who have access to money (20%) are 3 times as likely to start a business than those who don’t (7%). Women with money (16%) are 4 times more likely to start a business than those without (4%).
“These results underscore that access to capital is a key determinant of starting a new business or growing an existing one,” Gallup said. “Without access to financial services, a talented potential entrepreneur could find it difficult to enter new-product markets or expand his or her operations and remain competitive.”
Other entrepreneur stories….
- O.C. manufacturer turns 50
- O.C. business closes, yet survives
- Crevier BMW sold to Penske Automotive Group
- Cake without wheat, eggs?
- Top branding expert makes name for her own line
- O.C. firm celebrates 35th birthday with a contest
- Shoppers can buy water with their sandals
- O.C. firm creates fashionable, reusable bags
- Special loan helps Marine turn entrepreneur
- O.C. company celebrates 40 years by expanding
- Smithsonian to sell O.C. handbags
- O.C. entrepreneur patents cool idea for school lunches