In fact, the opposite usually happens. Self-respect is the first to go. New entrepreneurs typically exist in work environments in which they have no secretary or assistants to handle the mundane tasks of running a business. Business owners may also double as salespeople, and the daily rejections can be devastating to their self-esteem. As for regaining respect from others, this rarely occurs.
Tolerance is more common than acceptance.
Some people will suspect that the business was started only because the ex-manager couldn't find a job. Even friends may congratulate the entrepreneur diplomatically while privately wondering about his or her sanity and ability to meet mortgage payments.