A critical yet not often explained characteristic of successful business owners is self-efficacy. Self-efficacy is similar to self-confidence and refers to a person’s belief in being capable of performing a particular task.3 Individuals generally avoid tasks where their self-efficacy is low and are drawn to tasks where their self-efficacy is high. As a result, a person with high self-efficacy for a given task, like starting a business, will usually approach it with enthusiasm and drive.4 This is why some people, even though they often think about starting a business, never do it. Deep down inside, they don’t believe they have the skills and abilities necessary to start and run a successful business. You can heighten your self-efficacy for starting a business by working in a field closely related to the business you’re thinking about starting, becoming acquainted with people who have started successful businesses (and realizing that they are no smarter or more capable than you are), and being encouraged by others.