Key Differences Between

Entrepreneurs and
Small Business Owners

United Women Leaders Global Network

Dr. Gloria Trueh
This presentation will explore the
differences between entrepreneurs and
small business owners, including their
motivations, goals, risk factors,
challenges, strategies, innovation, and
outcomes, with supporting statistics
such as the Global Entrepreneurship
Monitor's finding that 55% of adults
have started a business and the U.S.
Census Bureau's report of
entrepreneurs comprising 16% of the About
workforce and an average of 4.4 million
businesses launched annually in the
United States.

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 KEY DIFFERENCE
An Entrepreneur A Small Business Owner

• Founder or creator • Owns and operates a business with an existing product/service in

the marketplace
• Starts a business based on an original idea
• Can inherit a family business, purchase an existing business, or
• Focuses on new, innovative, or disruptive products/services start their own
• Takes on high-growth, high-risk opportunities • Emphasizes stable and manageable growth and goals
• Aims to maximize revenue and impact • Has a lower risk tolerance
• Seeks to turn a solution or need into profit • Focuses on customer satisfaction, sustaining the business, and
profitability

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Willingly set out on such a
path?

THE ROAD OF THE ENTREPRENEUR

THE ROAD OF THE SMALL BUSINESS OWNER

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 THE ROAD
An Entrepreneur
• Motivated to build something with lasting value.
• Look forward to selling or exit business for profit.
• Seeking financial freedom
• Seeks investors for capital.
• Motivated to provide greater value.
• Value team/customers as most valuable asset.
• Motivated by growth and not afraid to fail.
• Seek to hire the best talent available for the Job
A Small Business Owner
• Motivated to serve community/build reputation.
• Seeking a steady/residual income
• Want to be self-employed.
• Look premier to the SBA or bank for loans/funding.
• Motivated to create more sales.
• Value real estate/investment as valuable assets.
• Motivated by stability of revenue.
• Seeking to hire employees at market rate.
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The Main Differences Between Entrepreneurs And Small Business
Owners In Terms Of Their
Motivation

Outcomes Strategies

Risks Challenges

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 MOTIVATION
Motivation
An Entrepreneur A Small Business Owner

are driven by innovation, creativity, and passion. They
want to solve a problem or create something new that
has never been done before. They are willing to take big
risks and face uncertainty for the potential of a large
reward
are motivated by independence, security, and profitability.
They want to work for themselves in an industry they are
familiar with or passionate about. They prefer to take
calculated risks and avoid debt or external funding as much
as possible.

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An Entrepreneur A Small Business Owner

use experimentation, iteration, and pivoting to test and
refine their ideas. They seek out feedback, funding, and
partnership from various sources to scale their business
to larger markets. They often delegate or outsource the
daily operations of their business to focus on the big
picture.
use planning, research, and optimization to establish and
grow their business. They rely on their own skills, experience,
and network to run their business efficiently and effectively.
They often handle most of the daily tasks themselves or with
a small team.

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 Challenges
An Entrepreneur
– face challenges such as finding product-market fit,
securing funding, building a team, managing cash flow,
dealing with competition, and overcoming failure. They
need to be adaptable, resilient, and visionary to
overcome these obstacles.
A Small Business Owner
– faces challenges such as finding customers, managing
expenses, complying with regulations, maintain quality, and
staying relevant. They need to be diligent, organized, and
customer-oriented to overcome these difficulties.
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 Risks
An Entrepreneur
Finding investors is challenging due to evolving
technology, economic uncertainties, and market trends.
Risk is inherent when leaving a stable job to launch a
business, even with a brilliant idea. Entrepreneurs must
showcase their expertise to attract investors seeking a
return on investment
A Small Business Owner
• Financial risks can include cash flow problems, inability to
meet financial obligations.
• (2) Compliance and legal risks can arise from non-
compliance with regulations, or legal action against your
business.
• (3) Cybersecurity risks are risks associated with data
breaches, hacks or cyber-attacks and you losing all your
data or being held hostage by some unknown entity
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 Outcomes
An Entrepreneur
Entrepreneurs prioritize Return on Investment (ROI),
online networking, growth, and brand building. Their
main focus is paying back investors while establishing a
strong online presence. Exposure is crucial to engage
the target audience and promote their product/services.
Additionally, entrepreneurs seek growth opportunities.
A Small Business Owner
Aim for financial success, growth, customers, marketing, and
employee development. They strategically market their
product/services to expand their customer base, even if it
means promotions that don't immediately impact their
bottom line.
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 ThankYou
www.unitedwomenleaders.com
gloria.trueh@gmail.com
https://calendly.com/gloria-trueh
410-710-3872

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