During my long career of small business consulting, I have mostly come across small business owners who have barely completed their high schooling or graduation, and started their own business. I am often confused and impressed with the fact that these small business owners are so clear about their vision (they may not know the word vision), and their objective, that a full-time MBA will be ashamed of. That’s what is called entrepreneurship.
However, I have seen the same set of people faltering when expanding their business or starting a new venture in uncharted waters. Here probably comes the importance of higher education (read MBA). I have seen people armed with MBA or equivalent degree faring better on a higher level. Their managerial skills minus corporate attitude can make a big difference to the business.
I highly recommend small business owners to continue their education either through distance education or nighttime classes. This will eat away some precious time of their daily life, however it will be worth for their small business, to be transformed into a large business.