Establishing your own business can be very rewarding, but there are pressures involved. It's not just to have a good, viable idea; you also need to have the right skills and temperament to make the opportunity succeed. Starting your own business is also a risky thing to do, so you need to be aware of what problems to look out for as early as possible. This will help you to decide if you're willing and able to take the risks, and will also help you apply strategies that will reduce them.

Before you go any further, it's important to find out as much as you can about what sort of person you are. Be honest and objective, and discuss the project with friends, colleagues, and relatives. Think about how you have dealt with past challenges, as an indication of your response to difficult new situations. This will certainly help you to decide whether starting a home business is the right thing for you to do.

While the technical aspects of your business will require specific qualifications, skills, or experience, there are broader demands that are as important. These could include the ability to be sociable with customers, be convincing with prospects, think clearly under pressure, take criticism, portray confidence, and use your time effectively.

There's no single type of self-employed person, but experience has shown some characteristics which successful self-employed people have in common. They tend to be logical, prospective, organized, and responsible. They are usually extroverted and confident, and able to communicate and get their point across. They are also often sociable, with the ability to lead. Self-employed people are generally single-minded, but able to take advice. They are flexible and adaptable, quick to take opportunities, and ready to take risks. They tend to be tough-skinned, and able to handle failure. They are usually creative and imaginative, always coming up with new ideas for the business, and also hardworking, committed, and determined. Finally, they are often not afraid to stand out from the crowd.

There's no doubt that it helps to have some experience in the workplace, and it's even more useful to have it in the sector in which you want to start a business. Surveys reveal that many successful businesses have been started by people in their 30s who have some management experience. People over the age of 50- sometimes called "third-age entrepreneurs" are also responsible for many business start-ups and many think about a change of direction after taking early retirement. Having said that, a wide variety of people have established their own businesses successfully and have much to offer. For example, young people have fewer domestic commitments, plenty of energy, new ideas, and the potential to develop and adapt to the challenges of self-employment.