10/19/2018
HOW TO BECOME AN ENTREPRENEUR
Entrepreneurs are the lifeblood of the U.S. economy.
They own and operate everything from small grocery stores to digital startups. No matter what the size and scope, there are entrepreneurs behind every business and private company in the country.
Examples of entrepreneurs are everywhere. McDonald’s was founded by an entrepreneur. Facebook was built by an entrepreneur. Coca Cola was launched by an entrepreneur. Name a famous company, and there was an entrepreneur behind it.
But for every entrepreneur that becomes a success, there are many others who fail. Gallup polling has found that 50% of business don’t make it past five years. According to Fortune Magazine, a staggering nine out of ten startups will eventually fail. Those numbers may seem disheartening, but it doesn’t mean you should never consider entrepreneurship for your career.
With genuine passion, hard-work, a great idea, and a knack for learning, anyone can build a business and become a success.
Becoming an entrepreneur usually involves earning a degree.
Before you can start becoming an entrepreneur, however, you need to understand what an entrepreneur is, what it isn’t, and what it takes to become an entrepreneur. You should also understand what educations, including entrepreneur degrees, will help, as well as the pitfalls that you need to avoid.
Think you can be your own boss and blaze your own trail as an entrepreneur? Then let’s explorethe exciting and unpredictable world of entrepreneurship.
What is an “Entrepreneur?”
An entrepreneur is a term we hear a lot in this country, but do we really know what it is? When we think of entrepreneurs, we think of business owners of all types. Restauranteurs, auto shop owners, digital startups, self-employed photographers; all of these would count as entrepreneur careers.
But what is the defining factor?
The word entrepreneur comes from the French word “to undertake.” No, not a grave-digging undertaker, but a person who undertakes risk and initiative with the end goal of financial profit.
Entrepreneurs are defined as anyone who takes a risk with the goal of financial profit.
Obviously making money is not the only motivator for entrepreneurs, but risk-taking, usually in the form of financial investments, is the underlying theme of all entrepreneurs.
Entrepreneurs are also working to build something that will last. One of the defining factors for an entrepreneur is to take the necessary steps to create a business that will, when managed properly, continue making them money while they are not working. A cafe owner, for example, will make money while the cafe is doing business, even if she’s picking up kids from school.
Freelancers vs. Entrepreneurs
In today’s digitally-connected world, millions of people have taken their skills online and become freelancers. They take jobs as they come and work on their own terms, usually in writing, design, or as a consultant of some type. But are freelancers entrepreneurs?
Freelancers carry many of the same characteristics as entrepreneurs (more on that below) but they aren’t building something that will eventually make a profit while they sleep, take a vacation, or leave for the day. While the two terms are fairly ambiguous, they are distinct. By most definitions a freelancer is not an entrepreneur.
How Do You Know if Being Entrepreneur is Right for You?
Step by step guide on how to become an entrepreneur
How can you tell if the life of an entrepreneur is for you? There are some certain traits, qualities, and values that most successful entrepreneurs share. While they don’t guarantee success, certain entrepreneurial characteristics lay a strong foundation for life of risk-taking and reward.
First and foremost, entrepreneurs value independence. They want to be their own bosses, set their own schedule, and run their own lives. They are people who dread the thought of a boss overseeing their work, although entrepreneurs have hundreds, thousands, or millions of bosses; they’re called “customers.”
Entrepreneurs are self-reliant. They enjoy being responsible for their own success and take pride in building something greater than themselves.
They must also be able to handle risk. If the thought of not getting paid on a regular basis, failing to sell your product, or simply falling flat on your face frightens you to paralysis, you may have difficulty dealing with the up-and-down nature of entrepreneurship.
Due to the higher levels of risk, long-lasting entrepreneurs are also frugal. Despite popular culture telling us that entrepreneurs are popping champagne and cruising on expensive yachts, most business owners are savers, not spenders. This was highlighted by the research of Dr. Thomas Stanley and published in The Millionaire Next Door (1996), which found that most millionaires in this country are owners of small businesses (not lawyers, doctors, or bankers) and they are habitual savers. 81% of them purchase their vehicles instead of leasing, and 90% of those who do purchase spent less than $45,000. The book may need updating, but it shows the ever-important need for frugal living as an entrepreneur.
