Eric Spiegel had long wanted to start his own business, but it wasn't until the economy soured that he was nudged into doing so.

The consulting firm where he worked was failing fast with no signs of recovery. More than half the staff had been laid off and Spiegel feared that his job was next.

So he quit and opened his own consulting company.

Spiegel is not unusual; small business start-ups typically rise during sluggish economic periods.

As workers who once enjoyed comfortable salaries suddenly find themselves out of work, they may see the opportunity - or necessity - to strike out on their own.

As the economy and stock market continued to sputter over the summer, business start-ups in Maryland increased. There were 3,623 new businesses that registered with the Maryland Department of Assessments and Taxation in July, August and September of 2001. In the corresponding period this year, there were 3,974 start-ups.

"You often see people during slow economic times who get the entrepreneurial spirit and decide they want to be their own boss," said Robert Young, associate director of the assessments and taxation department.

Others may not be able to find another job or start a business until the market improves.

"If a person has the skills to go into business, they will do this until they find another job or discover that they like running a business," said Oliver J. Phillips, director of business development for the Baltimore district office of the U.S. Small Business Administration.

Staff at Baltimore's Small Business Resource Center said they've seen an increase in unemployed professionals seeking advice on how to go into business. A woman who lost her job at WorldCom Inc. recently came in to get advice on starting a crafts business.

"These are people who have been working in Fortune 500 companies for several years, who are now underemployed and unemployed, and deciding they don't want to do this anymore," said Paul Taylor, executive director of the Small Business Resource Center.

Spiegel caught the entrepreneurial bug earlier in his career while helping a technology company go public. He liked the independence of building a project from scratch.

Then the Sept. 11, 2001, terrorist attacks and the economic slowdown convinced him that it was time.

"That changed my attitude," Spiegel said. "I thought to myself, 'You know what? You could show up for work one day and not have a job. Why not take advantage of what you have and take some risks?'"

In June, Spiegel opened Expert Technology Solutions, a software consulting firm, from a home office in Ellicott City, drawing on $80,000 of his own assets for living expenses.

But Spiegel has discovered that running a company can be difficult, especially when the economy is limping along. Expert Technology Solutions has closed just one contract.

"The information technology market is extremely tight right now," Spiegel said. "I underestimated it. I really expected things to turn around by now."

Although there are difficulties, small business experts said, there are some advantages to opening a business during slow times. In some cases, laid-off workers can draw on severance packages rather than hard-to-obtain bank loans to open a business.

Businesses starting during lean times also learn valuable lessons that give them a better chance at success, said Michael V. Laric, director of the management and marketing division of the University of Baltimore Merrick School of Business.

"Businesses starting out in slow times must contend from the early days with slow payments for goods and services provided, and must manage their cash reserves judiciously to stay afloat," Laric said.

"The need for carefully managed growth and conservatively managed cash is less obvious in good economic times. Businesses who were weaned on conservative cash management are therefore more likely to avoid layoffs and [avoid losing] the business due to poor cash-flow management."

Hillel Glazer started his company after being laid off in April 2001, and he said he'll never work for anyone else again.

The 34-year-old used two months' severance and a bank line of credit to support his family and launch his company, Entinex Inc., four months after losing his job. The Silver Spring company helps companies improve their software and technology to make them more efficient and profitable.

Glazer acknowledged that it hasn't been easy. He had to learn through trial and error, including how to market his business. But he likes the independence of running a company and the time he gets to spend with his family.

"I can manage my time, manage my clients and be selective about the engagements I take," Glazer said.