Determining the Common Problems of Early Growth Small Businesses in Eastern North Carolina.

Introduction Small businesses play a prominent role in the national economy by providing job growth, technological innovation, economic diversity, increased local spending, and greater regional loyalty (Luke, Ventriss, Reed and Reed, 1988). According to the Small Business Administration (SBA) Office of Advocacy, more than 99% of all current employers are classified as small businesses, and they employ 51% of private-sector workers (SBA Office of Advocacy, May 2002). The Office of Advocacy also estimates that approximately two-thirds to three-quarters of new jobs are expected to come from small businesses. Female-owned businesses, in particular, have grown rapidly. Between 1987 and 1997, the number of female-owned businesses increased by almost 90% (SBA Office of Advocacy, October 2001). According to the Business Women's Network, women will own approximately 50% of all businesses by the end of 2005 (Business Women's Network, 1999). Given the tremendous growth in this segment, it would be interesting to find out if female business owners are subject to the same problems as their male counterparts.