For years, the United States has ranked well among developed nations featuring the highest percentage of entrepreneurs. These entrepreneurs have contributed to the growth of the US economy by providing opportunities to millions of employees across the nation. These entrepreneurs have also contributed to society in various capacities by doing business with other companies or individuals.
Here are some key findings from the 2013 Global Entrepreneurship Monitor (GEM) that covered developed nations in North America, Asia and Europe:
In 2013, around 25 million Americans launched a new business or were in the process of starting one.
Americans were the most positive about the business environment and opportunities available for entrepreneurship.
A whopping 56% of Americans had faith in their abilities to launch a business.
1 out of 10 American women had newly launched a business or were in the process of starting one.
These stats indicate that American entrepreneurs represent a breed that will continue to grow at encouraging rates. So what separates an entrepreneur from ordinary employees? An entrepreneur is not born overnight. He is raised in an environment where entrepreneurial spirit is nurtured, whether it’s at home or an educational institution.
Entrepreneurs and employees are poles apart. An employee can become an entrepreneur but this involves drastic changes in attitude, mindset and working style. The employees we refer to in this article could managers, secretaries, a salesmen or any individual recruited by a company.
This article lists the primary differences between employees and entrepreneurs, taking you through a series of facts that separate the two.
1. An entrepreneur has a vision and builds his business around it. An employee waits for the right opportunity.
An entrepreneur would say, “Here is my business plan. I am going to launch it on the 20th of next month. I am going to plan funding and will seek resources to get my business moving forward in full steam.
An employee would say, “I have a business plan but don’t know how to go about it. I don’t have the money either. So I am going to forget about it.”
2. An entrepreneur takes risks on a regular basis. An employee takes risks less often.
An entrepreneur is often faced with decisions that involve taking a lot of risks. These risks may end up beneficial or detrimental in the long run. But an entrepreneur cannot move ahead of competition without taking these risks. An employee, on the other hand, seeks good employment opportunities. The employee will remain loyal to an employer who values his talents.
3. Entrepreneurs and employees have different perspectives on responsibility
Entrepreneurs take on a wide range of responsibilities pertaining to multiple departments in their business. They oversee and ensure the smooth functioning of all channels. Employees are content with the micro responsibilities assigned to them by their managers.
4. Entrepreneurs have the freedom to pursue their goals as they wish. Employees have limited freedom to plan their careers.
An entrepreneur can walk into an office whenever he wishes to while an employee will have to follow a schedule. An entrepreneur can decide what he works on each day while an employee will have to focus on the tasks assigned to him.
5. Employees are specialists while entrepreneurs know bits and pieces of everything.
An entrepreneur cannot survive without an employee. He will have to hire someone specialized to complete tasks on a daily basis.
6. Entrepreneurs focus on building wealth. Employees focus on building careers.
An entrepreneur keeps thinking about improving his financial resources. This is because he will have to pay a lot of people by the end of the month, including his employees! An employee focuses on leading a stable and rewarding career that will take care of his bills for a lifetime.
7. Entrepreneurs have to give feedback and input on a daily basis. Employees receive feedback on how they are performing.
An entrepreneur works with a lot of people. He has to give his regular feedback on their contribution to the company. This feedback will go a long way to ensure employees work towards the goals set by the company.
8. Entrepreneurs are willing to accept failure. Employees view failure as a setback.
Let’s face it – even the most successful entrepreneurs faced a string of failures in their lifetime. They used these failures to seek greater glory. For an employee, a failure would mean a one-on-one session with his manager. He may even lose his job!
9. An entrepreneur looks forward to weekdays while employees look forward to weekends!
Weekdays are when most work gets done for entrepreneurs. That’s when their businesses get actual work done to meet goals laid down by the company. The more working hours, the merrier! Employees view weekends as stress-busters and look forward to them to escape dreary deadlines!
10. An entrepreneur can legitimately represent or own several businesses. An employee will be under the employment of one specific company.
An entrepreneur will be able to launch several start-ups. His outreach can spread all over the world. He can also expand each start-up by branching out to several cities in the United States. An employee can ideally be associated with only one company. He may be sent to other offices to train or implement a particular project but he will continue to primarily represent his parent company.
11. An entrepreneur doesn’t need educational degrees to excel. An employee will need an educational qualification to get a job he desires.
You have probably heard a lot of success stories featuring college drop-outs. Steve Jobs and Bill Gates are examples of people who didn’t complete their college education but still went on to lead successful business lives. An employee, however, will find it difficult to get a quality job unless he has the requisite degrees.
12. An entrepreneur creates processes of his choice. An employee will have to follow a set of processes implemented by his company.
Entrepreneurs have the liberty to run offices as they wish. They create business processes that suit their goals and creativity. An employee doesn’t have this freedom. He will have to strictly follow the guidelines set by his company.
13. An entrepreneur has unlimited opportunities to earn income. An employee will have to settle for a fixed salary from his organization.
As mentioned before, an entrepreneur can expand his start-up or create new business opportunities. There are immense possibilities to earn income from numerous sources. An employee has restricted opportunities, unless he takes up freelance work as well.
Are you an entrepreneur in the USA? Did this list provide facts that you were familiar with? Do share your thoughts in the comment box below. We also recommend going through our range of ceramic coffee mugs to launch a marketing campaign for your business. These mugs offer quality imprint areas and will highlight your logo in style!
We wish you the very best for your business!