This report provides a conceptual model of how a business develops and grows in Wisconsin and results from a survey of entrepreneurs. Part I provides the background and develops the conceptual model. It defines small business, discusses entrepreneurial characteristics, describes stages of business development, and considers barriers encountered by small business, including difficulty in obtaining capital, management difficulty, government regulations, taxes, obtaining technical assistance, and being female or a minority. A conceptual model of business development is then presented. Each stage in the two phases--pre-venture phase and venture phase--is discussed. Part II presents the results of a survey of nearly 300 entrepreneurs and potential entrepreneurs addressing their perceptions of problems and barriers to business entry and growth. Data are cited that suggest that characteristics related to the individual entrepreneur are the primary barrier to initiating a business venture, while the availability of capital resources are secondary. Analyses of other data show that firms more likely to express the expectancy to generate jobs are positively associated with higher scores on the expansion stage, negatively associated with higher scores on the maintenance stage, and more likely to be male-owned or male-managed. (Seven figures and 12 tables are provided.) (YLB)