Who is a small business owner?

smallbizIn a recent radio interview I was asked to explain the difference between an entrepreneur and a small business owner. What a great question! Many are confused about the difference between these two terms and they are often mistakenly used interchangeably. Nothing could be farther from the truth.

An entrepreneur is defined as “a person who organizes and manages any enterprise, especially a business, usually with considerable initiative and risk.”

Entrepreneurs prefer the thrill of the race over crossing the finish line. They are always looking for the next speculative venture and thrive on the stress and chaos that goes into creating, negotiating and sometimes hitting it big. They play to win but are not afraid to throw in the family farm as a final bet. If they lose, they just move on to another game.

Business is defined as “an occupation, profession, or a trade; a person, partnership, or corporation, engaged in commerce, manufacturing or a service; profit-seeking enterprise or concern” and defines an owner as, “to acknowledge as one’s own; recognize as having full claim, authority, power, responsibility, dominion, etc.” Small depends on the industry and is defined by the U. S. Small Business Administration as, “Depending on the industry, size standard eligibility is based on the average number of employees for the preceding twelve month or sales volume averaged over a three-year period.”

Putting it all together, a small business owner is an individual who, based on the industry and average number of employees, meets the size standard set by the Small Business Administration to be eligible for the title. They take full ownership and responsibility for building a profitable business that serves their needs and the needs of the people they love. The business is their livelihood, their retirement and their legacy. Their ideas, passions, skills or talents inspired them to start the business and their commitment will not let them fail. They are emotionally involved in the day to day operation and the overall performance of the business. For them, life is work and work is life. They live a lifestyle that allows work to be a part of their dreams, priorities, and responsibility.

I am a small business owner and I proudly serve that brave group who are also small business owners. Let me help you make the most of your small business with my new book, Plan It! Do It! Love It! available now.

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