Entrepreneur Vs Self Employed
In the millennial generation of the side hustlers, coaches and entrepreneurs, it is really hard to know what is what. Do you even know how to stand out? Have you researched the real definitions of what is what? Well, I am here to help you learn about the differences of entrepreneurship vs self-employed and then you can decide about your finances to see what you want to do in 2020. Are if you are interested in a side hustle you can check out my last blog post titled “3 Online Hustles for the BUSY Millennial “.
An ENTREPENUER is one who organizes, manages, and assumes the risks of a business or enterprise
Let’s first talk about Entrepreneurship this is a buzz word that is bouncing around everywhere. The dictionary definition is ‘Entrepreneurship is the process of designing, launching and running a new business, which is often initially a small business. The people who create these businesses are called entrepreneurs.”
Self-employed is earning income directly from one’s own business, trade, or profession rather than as a specified salary or wages from an employer.
There is a huge difference and I don’t think people understand when you are an entrepreneur you are creating a small business and employees. You can be an employee of your small business and therefore you are an entrepreneur.
I believe that if you are self-employed that you aren’t necessarily an entrepreneur because you are still working for someone else (granted it is on your own standard). Self-employed usually means that you get gigs which in results you are most likely a freelancer.
So you can be both or just one I just believe some people don’t know the difference.
Would you like to create a small business or would you just want to start a side hustle?
First you should ask yourself these questions:
“Do I have a skill?
“Can I add value to something?”
“Is there a problem I can solve? “
Whichever route you take these questions can be beneficial. If you answered yes to any of those questions then ask yourself:
“What skills do I have?”
“Where can I provide value?
“What problem can I solve?’
This is where the distinction comes from if your skill is writing then you can write for companies. In this sense, you are self-employed because you are contracting your services out and getting paid which you would be a freelancer. This isn’t necessarily a small business, although it can turn into one, this could be considered a side hustle as well.
If you wanted to turn your writing into a business and call yourself an entrepreneur, then you would be a blogger, someone who write for themselves and creates content for their audience. People would then pay you, and you could start a small business through blogging, say if you used fiverr, (which is a freelancing app) that someone can edit your blogs for you, or create your graphics. (this would be the difference)
If you are deciding which one you want to be or both, the task at hand would be:
- Write down 3 transferable skills that you are good at
- Write down who your target audience you would want to reach
- Write down if you are going to create a product or service
After you write these down and flush out your ideas, you will be well prepared to know what you want to start versus what you don’t want to do. Think about the money goals you wrote down and how you want your money to increase this year. Don’t forget to invest in yourself by taking courses and classes.
(In no way am I a financial advisor or finance buff, I just have a lot of experience and knowledge when it comes to sharing resources and providing access to somethings people don’t think about)
If you do decide to start a business or a side hustle please let me know in the comments.