Understanding the meaning of being a solopreneur
A solo entrepreneur, or solopreneur for short, is someone who goes into business alone. While people often think that they need patterns as part of a founding team, solopreneurs specifically look to start a business by themselves. While there can be disadvantages associated with starting a business alone, as discussed below, there are also some benefits of being a solopreneur.
Different dimensions of founding a company alone
There are some different dimensions on which you may be in business alone. Some individuals who classify themselves as solopreneurs may fit all three – others only some of the points below. Characteristics of solopreneurs include:
No other founders
One dimension of being a solopreneur is starting a business alone – no other founders as part of your business. You are the one that is making all decisions with the firm – giving you the freedom to take the business in whatever direction you want, but also the responsibility of doing so.
No other employees
Any dimension of being a solopreneur is whether you have employees or not. If you are truly alone, you may opt not to employ anyone, instead undertaking all dimensions of the firm yourself. Of course, this may not always make sense, and even if you start a business initially by yourself, you may find that over time there are benefits in taking on help to allow your business to expand.
No outside funding
A final dimension associated with being in business alone is a lack of outside funding. Some individuals can opt to start a business entirely without any form of external financing so as to allow them to retain full ownership of the business.
The advantages of being a solopreneur
Some of the benefits of being a solopreneur include:
- Freedom to set your own terms
- Eliminate internal conflicts
- Reduce the stress, and cost, of having employees
- Fast decision making
- Launch your business quickly
Being a solopreneur can be well aligned with a lifestyle business, where founders value the lifestyle associated with running the firm as much as the financial reward. Running a business by yourself allows much greater control than having other founders, employees, or investors involved.