Hot topics

Slovenia Business Week no. 39: Survey: Desire for Profit Key for Establishing New Companies

Higher profit (73%) tops the list of reasons, followed by new challenges (69%), a desire to be their own boss (66%) and avoiding unemployment (58%)

Desire for higher profit, new challenges and the wish to be "their own boss" are the main reasons for starting new companies, according to a National Statistics Office survey. The obstacles meanwhile include red tape, bigger responsibility and securing sufficient capital.

Higher profit (73%) tops the list of reasons, followed by new challenges (69%), a desire to be their own boss (66%) and avoiding unemployment (58%).

Overall, the major obstacles are red tape (55%), bigger responsibility (54%), and securing sufficient capital (50%), Mojca Zaletel of the Statistics Office told the press on Thursday, 30 November.

Women entrepreneurs meanwhile named the biggest difficulties to be the level of responsibility, determining the prices of products and services, and customer relations.

The main reasons the respondents think their company is innovative include the introduction of new products (30%), new sales channels (20%), new production procedure or method (19%), and new management and organisation (15%).

Nearly half of new entrepreneurs are older than 39 (42%), 33% of them are between 30 to 39 years old, and 25% are younger than 30.

Some 73% are men and they prevail in all activities except in catering, where the women entrepreneurs make up 53% of the total.

Two-thirds of the entrepreneurs have secondary education, 29% of them have higher education and 4% have primary education.

The survey dealt with success of companies established in 2002 and still operating in 2005. It was carried out in 13 EU countries as well as Romania and Bulgaria.

Source: Slovenian Press Agency STA

Author: STA, Slovenian National Press Agency