Success Versus Failure Variables
Capital (capt). Businesses that start undercapitalized have a greater chance of failure than firms that start with adequate capital. Record keeping and financial control (rkfc). Businesses that do not keep updated and accurate records and do not use adequate financial controls have a greater chance of failure than firms that do. Industry Experience (inex). Businesses managed by people without prior industry experience have a greater chance of failure than firms managed by people with prior industry experience. Management Experience (maex). Businesses managed by people without prior management experience have a greater chance of failure than firms managed by people with prior management experience. Planning (plan). Businesses that do not develop specific business plans have a greater chance of failure than firms that do. Professional Advisors (prad). Businesses that do not use professional advisors have a greater chance of failure than firms using professional advisors. More recent sources of professional advisors are venture capitalists. Education (educ). People without any college education who start a business have a greater chance of failing than people with one or more years of college education. Staffing (staff). Businesses that cannot attract and retain quality employees have a greater chance of failure than firms that can. Product/Service Timing (psti). Businesses that select products/services that are too new or too old have a greater chance of failure than firms that select products/services that are in the growth stage. Economic Timing (ecti). Businesses that start during a recession have a greater chance of failing than firms that start during expansion periods. Age (age). Younger people who start a business have a greater chance of failing than older people starting a business. Partners (part). A business started by one person has a greater chance of failure than a firm started by more than one person. Parents (pent). Business owners whose parents did not own a business have a greater chance of failure than owners whose parents did own a business. Minority (mior). Minorities have a greater chance of failure than non-minorities. Marketing (mrkt). Business owners without marketing skills have a greater chance of failure than owners with marketing skills.

Success Versus Failure Variables

Capital (capt). Businesses that start undercapitalized have a greater chance of failure than firms that start with adequate capital.
Record keeping and financial control (rkfc). Businesses that do not keep updated and accurate records and do not use adequate financial controls have a greater chance of failure than firms that do.
Industry Experience (inex). Businesses managed by people without prior industry experience have a greater chance of failure than firms managed by people with prior industry experience.
Management Experience (maex). Businesses managed by people without prior management experience have a greater chance of failure than firms managed by people with prior management experience.
Planning (plan). Businesses that do not develop specific business plans have a greater chance of failure than firms that do.
Professional Advisors (prad). Businesses that do not use professional advisors have a greater chance of failure than firms using professional advisors. More recent sources of professional advisors are venture capitalists.
Education (educ). People without any college education who start a business have a greater chance of failing than people with one or more years of college education.
Staffing (staff). Businesses that cannot attract and retain quality employees have a greater chance of failure than firms that can.
Product/Service Timing (psti). Businesses that select products/services that are too new or too old have a greater chance of failure than firms that select products/services that are in the growth stage.
Economic Timing (ecti). Businesses that start during a recession have a greater chance of failing than firms that start during expansion periods.
Age (age). Younger people who start a business have a greater chance of failing than older people starting a business.
Partners (part). A business started by one person has a greater chance of failure than a firm started by more than one person.
Parents (pent). Business owners whose parents did not own a business have a greater chance of failure than owners whose parents did own a business.
Minority (mior). Minorities have a greater chance of failure than non-minorities.
Marketing (mrkt). Business owners without marketing skills have a greater chance of failure than owners with marketing skills.