I just started a book on my Kindle recently about learning better ways of finance for entrepreneurs. (Book details here.) One of the things the authors address right at the beginning is the differences between a lifestyle entrepreneur and a high growth entrepreneur. Let me break those definitions down for those not familiar:
Lifestyle – Someone who starts or runs a business to create a very consistent lifestyle for themselves. Not necessarily in it for the big money potential but more the financial stability to lead a standard middle-class life. Easiest example is the 'mom and pop' shops of the world.
High Growth – Someone who see their companies as assets or tools to lead to further investments. Always looking to continually grow their business in hopes to lead to future exponential profits or towards acquisition.
Now with that defined, let me get to the point. The author tends to think that as an entrepreneur you can only be one way or the other but I don't think it's true. I hope, in my life, to run multiple businesses concurrently and will consider how to run my businesses accordingly to their potentials. Some businesses that earn very consistent and recurring revenues may work for a 'lifestyle' investment and some may lend themselves to a 'high growth' play. I don't understand why I can't balance both like anyone would with their stock portfolios.
Maybe I’m missing the point. What kind of entrepreneur are you? Can you be both a lifestyle AND high growth entrepreneur?
Posted from brad garland’s stream
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James Robert Lay
September 22nd, 2009
I think you can be both Brad plus a third. That is certainly my goal. We can add in another element of humanity. We are put on this earth for a limited amount of time. With this thought, my goal is to use my business(s) to help others. From team members, their families to clients and others I meet along the way. Encouraging everyone to do better for all. Helping one another. That I think is a third aspect to include and why not be all three: lifestyle, high growth and altruistic.