Starting a business is risky. Half of all new businesses fail to experience a fifth anniversary. And everyone knows that you could lose all the money you've invested in your new company and then some. Those are the obvious risks of trying to be an entrepreneur.

Whatever the reasons, would-be entrepreneurs should be forewarned. Going into business for yourself isn't just risky because your business might fail. It's risky because you might have a harder time getting a job in the future, even if you succeed with your company.

Everyone is trying to say, 'This is Gen Y; we're not an old company. We're not doing old content.'

The median startup is a business that's capitalized with about $25,000. The financing of that business comes from the entrepreneur's savings. The business is a retail or personal service business, a hair salon or a clothing store, that kind of thing.

"Real entrepreneurs don't just create businesses, they create more entrepreneurs." - Simcha Gluck, FreshBiz CoFounder

Money is a very fundamental ingredient in anyone starting up a new business.