Thinking about launching a business or almost there already? Have you ever taken time to just sit and think about what type of an entrepreneur you are? In Part One of Small Business Foundations we look at different types of entrepreneurs and ask the question, “Which one are you?”
Knowing which kind of entrepreneur you are will help pinpoint your strengths and weaknesses. This can be invaluable in the long term when you need to supplement your skills set and grow your business further.
Here are our top five types of business entrepreneur:
- The Innovator: A creative, problem solving entrepreneur who devises solutions to solve problems or meet needs.
- Opportunity Entrepreneur:Founding businesses through available tenders or franchise opportunities.
- Specific Skills: Skilled people leaving their corporate jobsand expanding on their skills set, i.e. taking the freelance model to a small business model.
- Lifestyle Entrepreneur: Often a stay at home mom (Home Executive) who starts a small business from home.
- Survivalist:This entrepreneur is common throughout Africa due to high unemployment and it is as it sounds; creating a small business opportunity to survive.
The types of entrepreneurial definitions are by no means limited to our overview – there are many! For example, Michael E. Gerber in his book the “E-Myth” segments business owners into four categories: The Technician; the Manager; the Leader and the Entrepreneur. This book looks to bust the myths surrounding starting up a business.
In 1949, Clarence Danhof formulated a classification based on the psychology of how people react during the different stages of business development. Two of these that struck us as particularly interesting are:
- Fabian Entrepreneurs: Known for their mistrust of change and experimentation; they will resist modification and then eventually try to copy a more successful business model.
- Drone Entrepreneurs: These business owners are even more stubborn than their Fabian counterparts and will compromise their business (to the point of failure) before changing their business formula.
Although the definitions above seem dated in today’s world where agility and flexibility are so important, many entrepreneurs are still resistant to change without even knowing it. Usually it’s when you’re so passionate about something you simply can’t believe that it’s notworking the way you planned. Knowing what type of entrepreneur, you are, will help you to be on the lookout for feelings of resistance; challenge yourself, hire someone with complimentary skills andseek the advice of someone whose opinion you value.
Contact: Nokwazi Mzobe, Founder at Matoyana
Matoyana Business Solutions is a boutique business consulting company located in Johannesburg, South Africa. It is targeted at start-ups, small and medium enterprises across Africa.