It's An Operation
Although neutering is widely performed and is generally considered a safe operation, it is an operation and does require a general anesthetic. There is always a risk when small dogs are subjected to anesthesia. You should not unthinkingly decide to have your dog neutered.
Talk to your vet and understand what type of anesthesia and pain medication s/he will give your dog. Ask about the risks and chances of complications as a result of the the surgery. Understand the after care you should provide your dog until he heals.
Cancer
You often read that neutering will help your dog avoid getting cancers associated with reproductive organs. This is true to the same degree that having a hysterectomy or being castrated will prevent cancer associated with reproductive systems in humans.
If you look beyond the old wives tales, you'll find that veterinarians disagree on the best practice.
For example Veterinary Oncologist Keven Hahn writing in Veterinary Practice News said that after reviewing studies over the last 30 years, he's not sure what to recommend to his clients. There is a higher incidence of testicular cancer unneutered dogs, but also a higher incidence of cancer of the blood vessels in neutered males. This issue is whether there is a cause and result relationship to any of these.
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