Soraya Albaladejo
24 Mar 2022
Table of contents
Entrepreneur vs Business owner: do you know the difference?
Have you ever wondered what the difference between an entrepreneur and a business owner is? Although they are often confused, understanding what an entrepreneur and a business owner are will help you identify their goals and ways of working. In this post, I’ll share 5 key differences that set them apart and how they impact their paths to success.
Highlights
Are all entrepreneurs businesspeople? And all businesspeople, entrepreneurs? We often think the two concepts are analogous or interchangeable, but nothing could be further from the truth! To have a clear image of our sector or the business sphere around us, we must clearly understand their differences and similarities, which is why today we summarize the 5 differences between entrepreneur and businessperson. Taking notes?
Every good teacher would tell us: “before analyzing similarities and differences, we must understand each of the terms.” Let’s go!
According to Investopedia…
An entrepreneur is someone who has the ability to discover and identify a business opportunity. Based on that, they organize resources to start a business project. Meanwhile, Wikipedia stands that a businessperson is someone in charge of the direction and management of a company, business, or industry. Their goal is to generate economic profit.
Is it more or less clear? No? The line that separates both concepts is very thin; in fact, we could say that one describes the path and first steps of the other, but can’t both realities occur simultaneously? We’ll explore this by looking at their differences and similarities.
What’s clear is that, regardless of your profile, you absolutely need to develop your business skills. There are more similarities between entrepreneurs and businesspeople than we think, and all are essential for any type of project to succeed. What are they?
More than just a human quality, empathy allows us to put ourselves in others’ shoes. Without it, we couldn’t identify our customers’ needs, let alone lead teams effectively.
Knowing how to ask for help and delegate is essential so that a project doesn’t stall or collapse. Asking for help doesn’t make us less capable — it makes us more aware and committed to our work.
We already know life has its ups and downs — and so do businesses. Entrepreneurs and businesspeople are the ones who face the most bumps in the road. The ability to persist when everything goes wrong is the key to ensuring your venture’s success.
Don’t be mistaken — avoiding lies doesn’t make you honest. Honesty begins when we practice it with ourselves. Admitting mistakes, weaknesses, and knowing our limits is essential to moving forward with our projects.
Honesty, empathy, and perseverance are keys to success for both businesspeople and entrepreneurs.
From our point of view, an entrepreneur doesn’t stop being one just because they become a successful business owner—there’s always room to keep launching new ventures! Likewise, a truly visionary business owner who aims to revolutionize their industry will never lose their entrepreneurial spirit.
Even so, let’s take a closer look at the differences between the “entrepreneur self” and the “business owner self” to better understand both, even if they live within the same person ;)
Heads up! 👀 These highlights aren’t mutually exclusive. That is, neither a business owner nor an entrepreneur needs to meet all the criteria to be considered as such—but they are the most characteristic traits of each.
This is one of the differences between an entrepreneur and a business owner that are intrinsic to the very definition. While the entrepreneur aims to bring their innovative business idea to life, regardless of the time or resources they need to invest, the business owner occupies a much more solid position, focused on creating strategies to continue standing out in their sector, leading teams, and making decisions based on profitability and business expansion.
The entrepreneur aims to bring their innovative business idea to life, while the business owner occupies a much more solid position, focused on creating strategies to continue standing out in their sector.
Another difference that we’re sure you’ll easily identify is the work model and the human team surrounding each of them. While the entrepreneur can be defined as a more solitary figure, with a small group of people working alongside them (or none during the initial stages of the project), the business owner is already considered a team leader made up of professionals. That’s why the role of the business owner must also involve coordinating talent, delegating responsibilities, and setting objectives that go beyond the company’s general goals.
And of course, although the skill and experience of both figures may differ, the entrepreneur and the business owner will work to develop their adaptability and flexibility. Whether it’s with the fresh, idea-filled mind of the “entrepreneur self” or the years of experience and strategy of the “business owner self,” both must be able to overcome any unforeseen challenges, anticipate changes in their sector, and know their product so thoroughly that nothing escapes their grasp.
More than a difference, this is a shared skill—a parallel path toward the same goal, for both the entrepreneur and the business owner.
Because how does the entrepreneur plan their week? And how does the business owner do it? While the “entrepreneur self” starts by handling all aspects of the project (financial plan, creativity, marketing, evaluation…), the “business owner self” sees themselves more as a figure of control, management, and representation. They also watch over the company’s interests, but from a bird’s-eye view, delegating evaluations to their managers and positioning themselves as a captain who sees the storm and steers the ship accordingly.
Ultimately, although we can establish differences between what we consider an entrepreneur and a business owner, they both need each other. In a way, they are the path to a shared goal, and, as we mentioned, they can coexist in time—and even in the same mind. Think of it this way: what if a successful business owner sparks a new idea while networking in the shared spaces of their Lexington flex workspace and becomes, at that moment, a businessman with the soul of an entrepreneur? See what we mean?
We always say it: you are your only limit! Because if you want to turn the classic concept on its head, the most established way of thinking, and make it your own… you can 😉 At Lexington, we’ll always be here to give you that final push. Let’s!
Although we can establish differences between what we consider an entrepreneur and a business owner, they both need each other.
Although the traditional conception of entrepreneurs and business owners placed them in different work environments, after the pandemic and the rise of hybrid work models, those lines are blurring!
The entrepreneur used to be associated with coworking spaces, while the business owner was seen in a conventional office, the kind we've always known. But what if we told you that flexible workspaces can meet the needs of both?
No matter the size of your company or whether you identify more with the full-entrepreneur or the full-business owner, we have your next workspace! We offer the most flexible solutions in Madrid and Barcelona for those business owners or entrepreneurs looking for a more nomadic workplace with company registration in strategic locations. We also provide corporate offices or open-space areas with access to meeting rooms and shared working areas for those entrepreneurs or business owners whose teams want to return to the office and who need a workspace that fully reflects their brand image and company culture.
If you want more info about our flex spaces, don’t hesitate to write to us!
Written by
Our CMO has become a corporate marketing expert after 12 years working towards finding *that* something that makes each brand unique. She is the one responsible for us featuring on the cover of every magazine because she knows how to make the most out of the rebel personality of our workspaces. Strategic, organized and the funkiest manager (she has rhythm, not funk, but not even her knows how to describe it!).
