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Because it takes so much money to start a business (often tens or hundreds of thousands of dollars) it takes months or years for the company to start making profit. If the company cannot continue to function without making profit for several months (usually when the founder can't afford to continue putting their own money into it) it will fail. After the company starts earning profit it's much easier to keep alive, but it's getting to that profit stage that's the most difficult.

It's vital to make every effort to keep the new business afloat. The Small Business Association publishes figures that indicate the majority of new businesses fail. They offer help to new owners.

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Q: Why is survival a common initial aim of a startup business?
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