Research suggests that budding entrepreneurs need more training

Research suggests that budding entrepreneurs need more training

A new report from the Global Entrepreneurship Monitor project suggests that educated individuals may be more likely to initiate successful business ventures.

The study, which was released by Babson College, revealed that 60 percent of prospective entrepreneurs obtain their training from informal sources, such as no-credit courses at a university, local business organization, or government agency, or from books or Internet resources.

While these efforts could help budding small business owners learn to sustain themselves, the researchers suggest that more formal education could help these individuals launch more profitable ventures.

"Training at a young age cultivates an entrepreneurial spirit early on, but college-level training is important too, because it validates entrepreneurship as a potential career path," said Donna Kelley, a Babson professor who worked on the study.

She added that completing a campus-based or online degree program could help these individuals build enough confidence to follow through on their goals.

In addition to education, access to finance, government policies infrastructure are also key factors in the success of small businesses, according to the researchers.

By Stefanie Hughes