The terms entrepreneur and businessman are often used interchangeably and most people often assume they have the same meaning. The names may share a related meaning but they have different viewpoints and motivations in business.
Many people introduce themselves as business people because they have one or two business interests. Anyone who is in business is a businessman but not every businessman is an entrepreneur. The two have different characteristics but toil for a common goal to make money.
The question is – How to be an entrepreneur?
When you are starting or growing a business, skills and motivation and brilliant ideas are required for you to stay in business. You may decide to start your business from an existing idea, which makes you a businessperson. You may also have a light bulb moment identifying a problem/need and creating a solution and see how you can exploit the opportunity through business, this makes you an entrepreneur.
Businesspersons start their business to make a living, often expecting success and profits from their businesses. On the other hand entrepreneurs build their business to make a change and impact. They see a problem or need in the society and create solutions to these problems.
According to Robert Kiyosaki in his book, Cash flow Quadrant, self employed people start their own businesses in the quest for freedom from the employment system. They seek to become their own manager, make a living and still maintain a regular income. He explains that business persons do not even have personal time because they dedicate all their efforts to their businesses. Entrepreneurs or investors are financial burden free because they let their money work for them.
[sws_blockquote_endquote align=”left” quotestyle=”style02″]Self-employed people work for the money while entrepreneurs let the money work for them.[/sws_blockquote_endquote]
Often, a businessman is worried about competition and will constantly develop strategies to increase his business sales. He finances his business through his own savings and bank loans. An entrepreneur will get investors for his business to sponsor development and growth of the company. He or she also concentrates on providing value for the business and acts as a market leader.
Kiyosaki says that to become an investor one should be well versed with what is happening around the world especially in business. Most importantly, an entrepreneur has a lot of financial knowledge and focuses on strategy, growth and collaboration for the company. Business people only give importance to part of the business world and usually, things that affect them.
Ultimately, most start as business people and progressively become an entrepreneur. Being a businessman is good but one must evolve to become an entrepreneur. The two may have differing motivations, working style, strategies and objectives but at various levels, the two create value and jobs and keep Kenya’s economy running. However, business people should strive to be innovative, creative and profitable in their line of business.
While many think business and entrepreneurship are synonyms, the fact is there exists a fine line between the two and hence a businessman is not the same as an entrepreneur. Although both share the similar motive of money-making, business entrepreneurship strategies and approach are different. Entrepreneurship certainly is a level higher and a businessman must strive to become a successful entrepreneur.