Cross-sectional, qualitative in-depth interviews to understand the success factors that Durban-based start-up business owners perceive as vital to grow from infancy to adolescence in the organisational life cycle, using the Concept of Key Success Factors by Grunert and Ellegaard (1992).

Abstract

Why is there such a high failure rate with start-up businesses, in the initial stages of operation, in Durban, South Africa? To answer this question, the current study uses a sample of four Durban based start-up business owners that have successfully grown a start-up business from the infancy to adolescence stage of the organisational life cycle. The study uses in-depth interviews to gain in-depth perceptions on what the participants believe as the most common challenges faced by these start-up businesses and how their businesses managed to avoid or deal with these challenges and achieve successful growth to adolescence. The current study is influenced by The Concept of Key Success Factors by Grunert and Ellegaard (1992) and after collecting responses from the participants, the study develops a success factor narrative to assist future entrepreneurs to increase their start-up business knowledge and increase their chances of achieving success. The findings point to financial challenges, personal sacrifices and marketing and staff issues, whilst establishing that possible success factors include utilising professional advice, gaining access to capital, developing staff, finding a niche market, knowing your customers and staying innovative.