Small businesses play a vital role in economic development as they can provide the economy withefficiency, innovation, competition and job growth. Environment and Entrepreneurs are responsible forsuccesses of the businesses. To know Impact of environment and various characteristics of entrepreneur onsmall business data was collected from 60 respondents randomly selected on structured questionnaire inD.I.Khan. Regression analysis showed positive significant of investment, entrepreneurial experience,business profile and culture with R2=0.638 and F= 11.222. Provision of opportunities to develop skill forbusiness promotion is suggested by researcher.