After making sure that a business idea is feasible, an entrepreneur must then begin the arduous task of developing his business. This means doing market research, calculating costs, and pegging prices. A smart businessman has to know exactly how much startup costs will be and makes sure there’s more than enough capital to cover those and other contingencies.

After launching, the business will then have to pass through several milestones before it could prove that it is on the right track. Here are three indicators for successful businesses:

• Reaching and then surpassing the breakeven point
• Earning a living or respectable wage for the owner
• Generating a return on investment and achieving real profit