This is a tricky question. The way I see small businesses is their ability to create jobs, come up with new ways of doing old things, and help keep money in the local community. Without small businesses, we’d be in a bigger economic mess. Among people with small businesses, there’s confusion between the terms Small-Business Owner and Entrepreneur. Both can have small businesses, but they have different styles of leadership and thoughts on running their business.

My take is that small-business owners have a great idea. They solve a problem in their community. They know their business and target audience. They know what will make their customers happy. They serve their customers. They like to know what’s coming next and where it’s coming from. They make calculated decisions where the outcome is clear. The result may not be huge, but it will typically keep them moving forward.

Entrepreneurs on the other hand have big ideas. They dream big. They think big. They come up with ideas that haven’t been tested, diagnosed, or worked through. A lot of times they don’t even know if their ideas are possible, which gets them even more excited. They step out on a niche more often than not. They jump in with both feet knowing that if they put in their full effort, the risk will be worth it more often than not.

I’m sure there are other differences between being a small-business owner and an entrepreneur. That being said, I do not deny the fact that a small-business owner can be an entrepreneur and vice versa.

As I described earlier, an entrepreneur has big ideas and in my opinion he or she would limit the potential of the company or venture by always being in control. A great entrepreneur must be willing to take chances, and honestly, I think that’s what characterizes an entrepreneur in the first place. They like taking chances, so if I could see the potential of my company growing by delegating responsibility throughout the business, I would definitely do that. Some entrepreneurs even sell their business after a few years. I think I would be one of those entrepreneurs, who would gather a team of very competent people and let them run the show once I’ve set the course for the business, and then go on and seek new ventures.

I realize that growing a business face a range of challenges. As a business grows, different problems and opportunities demand different solutions – what worked a year ago might now not be the best approach. Some of the issues I think I would face a business owner or entrepreneur are:

1. Keeping up with the market
2. Planning ahead; and
3. Welcoming change

1. Business conditions change continually, so market research should be continuous as well. I could run the risk of making business decisions based on out-of-date information, which can lead to business failure. I’m a man of convenience, and once I feel everything runs smoothly I have a tendency to just sit back and enjoy the show. I know I would have to step up my game in a changing business environment in order to keep up with the demands of the market as well as competitors. Loyal customers can be quick to find alternative suppliers who provide a better deal.
2. Market conditions change all the time, so I need to revisit and update my business plan regularly. At the same time, every business needs to be alert to new opportunities. There are obvious risks to relying solely on existing customers. I tend to be very optimistic and not plan properly. I might be wrong in my planning although I made the effort of planning ahead. Sometimes it’s not your fault either; there could be unforeseen circumstances that cause the failure.
3. I know I need to be fully committed to my business strategy, even if it takes me out of my comfort zone. This may involve hard decisions – for example laying off people or switching business away from suppliers I have a good relationship with. I risk putting my business at a dangerous competitive disadvantage if I don’t have the guts to act so my business survives. I know myself very good, and I don’t like hurting people’s feelings.