Entrepreneurship has taken different forms and different shapes in the modern day. The twenty-first century is called the age of the entrepreneur by many.
This century has witnessed the metamorphosis of business models from the old pattern models, where business ideas are usually run by individuals and their families.
Most successful and well-known businesses of the 21st century are quite difficult to separate from family ownership because many started as an idea, and then more hands had to join in.
Solopreneur Is a Business Model.
Solopreneur is a business term that’s rarely thrown around. As a result of that, many might not have heard or seen the word. But if you ask those who aren’t familiar with the term solopreneur if they’ve come across the word entrepreneur.
A handful of them will most probably tell you they’ve heard the word entrepreneur, and many will even go on to give you ideas of what they think the word entrepreneur means based on their level of familiarity with the term.
The Clues You Need to Know
One major clue that can help anyone unfamiliar with the word solopreneur in attempting to explain or break down the word is the word “solo”, which naturally or almost automatically makes the impression of single or mono (that is one).
So, what truly does the word business model solopreneur mean? A solopreneur is a person who does all the work on a business idea or a business model that he has created. Pretty much explains the term entrepreneur; some will want to argue or put forward.
Well, to clarify things, let’s backtrack a little to that which we all seem to already know of or know pretty much all about, and that’s trying to explain who an entrepreneur is.
Who Is an Entrepreneur?
An entrepreneur is someone who has created a business idea, and he alone is the main manager of that business. An entrepreneur is the manager of a business, not always because they’re the ones who have created the business.
An entrepreneur manages and runs a business primarily because they know all about how the business should be managed. After all, it’s primarily their unique idea.
What then/are the Differences between an Entrepreneur and a Solopreneur?
Since we’re putting forward the idea that a solopreneur isn’t the same as an entrepreneur, what then are the unique things that separate them? What are the peculiarities of a solopreneur that aren’t inherent in an entrepreneur, and the way an entrepreneur runs a business?
Remember, we mentioned that a solopreneur is the only person who runs and owns a business? An entrepreneur is largely (to a degree, to an extent) the only one who runs his business as well, but there are thin differences.
Business of Food
While an entrepreneur is truly the only one who’s meant to call the shots, an entrepreneur isn’t essentially the only one running his business. How so?
Take a business of food making or food production, for instance, a business of food production owned and managed by an individual, where the entrepreneur needs other materials and other hands to do things to keep the business running.
It constantly produces what they’re meant to produce, and selling isn’t a business model that fits into the description of a solopreneur.
In the example of food production stated. You might want to say or ask… “What if the entrepreneur does all the work?e” You’ve just arrived at the answer! A business model owned by an entrepreneur cannot essentially be done by him or her alone.
The Likely Issues
The inherent business model DNA of a business that makes anyone an entrepreneur does not allow them only/alone do all the work to keep the business running and going.
They alone could call the shots, but they alone can’t do all the work to keep the business going, and that’s especially when the business starts to grow.
External Contributions
Apart from the fact that entrepreneurs don’t have the natural through to keep the business running, which is the main reason why the business can’t run or can’t survive solo without the need for some form of external contribution, entrepreneurs are basically and fundamentally owners or creators of ideas that become a business.
They(entrepreneurs) are not their businesses; they only own and manage their businesses. Again, entrepreneurs are not their businesses.
Solopreneurs Are Their Businesses.
We’ve gotten to this point where we have to identify at least one difference that’ll convince and leave a lasting impression of the obvious difference between a solopreneur and the more popular entrepreneur business model.
This point, perhaps, will be that sticky difference. And that’s the fact that while entrepreneurs are creators and managers of their businesses, they are not their businesses.
The reason why entrepreneurs can’t be their businesses while solopreneurs can is that the business models run or operated by the two entities are different at their core. The difference does not lie in the selling strategy, their marketing, etc. The businesses are simply both unique and different at their core.
The Business of a Retail Store
Someone who owns a retail store and shows up at certain hours to sell does not necessarily have or need to employ someone to stay in the shop and sell for them or her. That wouldn’t be the best idea to make more sales and generate more profit for the business.
The person’s entrepreneurial spirit might have come into play in the course of drawing up a catalogue of items to buy in his retail store, but the fact remains that such an entrepreneur would have been unable to buy all that he has put in the store without some external entities producing those products and items.
This entrepreneur, who owns a retail store, remains an entrepreneur and not a solopreneur or even if he chooses to manage his retail store all by himself, which in context is the wise thing to do.
The reason why the entrepreneur remains an entrepreneur is that he cannot primarily stand and sell whatever without buying some external stuff. This point is highly subtle, but its influence is ultimately the dispute settler.
Other Differences between a Solopreneur and an Entrepreneur.
A solopreneur business model is done by one person, while an entrepreneur business model operations can rarely be run by a single person.
A typical solopreneur business model does not need the services of anyone to run the course of the business.
He or she doesn’t necessarily need other services, or no other products or services, sometimes to make more money.
The Business Operations
The operational expense of operating and maintaining a solopreneur business model compared to that of an entrepreneur business model is another thing that stands out as a major difference between the two similar (but different) business models.
Operational expense is the entirety of the money that a business spends to turn inventory (that is, all the money a business has used in acquiring what to sell) into throughput (th, at i, money or profit).
In an entrepreneur business model, the money that you have to pay out to make throughput (sales and/or profit) happen is higher compared to the money you have to spend to generate profit as a solopreneur.
As an entrepreneur, you’ll most likely have to put people on payroll, and spend money to get raw materials, etc, when the business gets to a certain level.
The Design of the New Model
A solopreneur business model or type is consciously designed around not having to spend too much on operational costs.
Oftentimes, the factors and influences that led to the creation of the business don’t allow for too many operational costs to run the business.
Why then should you consider being a solopreneur over being an entrepreneur? There are many reasons why anyone interested in doing business should consider being a solopreneur over being an entrepreneur. You should consider being a solopreneur over being an entrepreneur if…
How to Run the Business
You do not have any money or much money: One of the main reasons why anyone should consider being a solopreneur over being an entrepreneur is if they’re low on capital to start a business that’s entrepreneurial or if they don’t have any money at allThe solopreneurur model of business allows anyone low on funds to run a business that can generate profit like many other businesses.
You wouldn’t like to involve external hands in your business: One other reason why you may want to consider being a solopreneur over being an entrepreneur is if you wouldn’t like to involve too many external hands in your business.
Business largely has to do with trust, and there is no doubt that different personality types.
What to Consider
And trust is something that’s not all that common. So if you like the kind of environment where you make money, one where your heart is fully at rest, then being a solopreneur is a thing you should consider evolving to as a business person.
Only that you’re in charge and fully responsible for the level of quality you deliver. An errand delivery guy is an entrepreneur. He doesn’t need anything else to operate and run his business. He needs his legs, or his bicycle if he has one.
One other thing he might need to keep running the business for as long as he wishes is a cell phone to take orders.
He’s not buying raw materials; he’s refilling gases or what have you. He’ll become an entrepreneur only when intended innovative adjustments to the business necessitate the demand for extra hands.
Conclusion
Here are a few careers or businesses that fall under solopreneur(ship):
•Blogging.
•Freelancing.
•Affiliate marketing.
• E-commerce.
This business can easily be operated by one person as long as he or she wishes to. They’re low-cost and profitable at the same time. You can read more similar posts on our business page of the site.
Editors
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