Entrepreneurs credit employees (62 per cent) the most for the success of their business, according to a survey of 8,901 businesses from the Canadian Federation of Independent Business (CFIB). Customer loyalty (60 per cent) and hard work (59 per cent) come next, followed by products and services (54 per cent), passion for the work (34 per cent), innovation (18 per cent), family support (17 per cent) and defined business plans (11 per cent).
"While most studies focus mainly on the personal characteristics of the successful entrepreneur, this is a one-of-a-kind, insider's perspective into the winning recipe for a business venture — and it speaks volumes about the character of small business owners that they give top billing to their employees and customers," said CFIB president Catherine Swift.
Regional differences showed business owners in Prince Edward Island felt employees were especially important to their success (75 per cent), followed by Newfoundland and Labrador (72 per cent), Manitoba (68 per cent) and Alberta (67 per cent). Quebec credited employees the least, at 47 per cent.
By sector, construction depended on its employees the most (69 per cent), followed by wholesale (68 per cent), financial services and natural resources (66 per cent each). Employees were least appreciated as an ingredient for success by the sectors of agriculture (43 per cent) and arts and recreation (51 per cent).
Entrepreneurs are also deeply connected to their communities and contribute in a number of ways, including employing locals (85 per cent), financial donations (74 per cent), donating goods or services (72 per cent), sponsoring sports teams (59 per cent), promoting local charities (47 per cent) and donating their time (47 per cent), found CFIB.
"It's no wonder that businesses give back so generously to their communities when they credit the community of employees and customers for their success. Communities and small business thrive together," said
CFIB's vice-president of research Doug Bruce.
The Secrets of Entrepreneurial Success is the first in a series of short reports on entrepreneurship. To view the report, please visit CFIB.
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