Interesting facts about entrepreneurs
Anastasia Bálova
Marketing Leader | Strategic B2B Marketing | MarTech | Digital Marketing | Website Optimization | Demand & Lead Generation | Startup Advisor | Founder x 4 exits | Investor | Author
Entrepreneur?
The term entrepreneur originates from the?French verb?"entreprendre", which means “to initiate, to begin, to start, to create, to embrace”.
The idea of a new entrepreneur existed and was known for a long time. Described as trendsetters with an innovative approach to ideas, products, services, or a business strategy, today’s business visionaries are an essential element in any economy.
They have what it takes to envision present and future needs and suggest unique pathways towards achievements.
Entrepreneurs Create Themselves?
Entrepreneurs like to know what they are capable of and finding out is part of their goals.
Getting out of their comfort zone on a regular basis is routine. It’s their way to develop endurance in stressful situations and cope with challenges positively.
Larry Ellison?(Oracle)?$59.2 B
He was born to a single mother who gave custody to his aunt and uncle. When his aunt died, he dropped out of college and took on odd jobs for the next eight years. He undertook a CIA project while working for Ampex. The name of the project was Oracle.
Richard Branson?(Virgin Group)?$5.1 B
He dropped out of school when he was 16 due to severe dyslexia. At 22 he launched Virgin Records with a recording studio. At 32 he entered the airline industry. Today he owns shares in over 500 companies.
Mark Zuckerberg?(Facebook)?$73.4 B
He created his first program Zucknet at age 12 to help his dad at his dental office. During his time at Harvard, he built CourseMatch, invented Facemash and the Facebook was renamed later to Facebook.
They Perceive Failure Differently?
Founders perceive failure in a different way than most. They learn from failure. Their motto is “fail fast, fail often, and learn fast”.
All great entrepreneurs continue developing despite failure.
Business success emerges from the seeds of self-disruption.
Entrepreneurs Do Not Give Up Easily?
The book “Edison – The Man and His Works” describes in detail how Thomas Edison failed in more than 700 attempts while trying to discover the light bulb.
When asked about it, Edison answered, “I have not failed 700 times. I have not failed once. I have succeeded in proving that those 700 ways will not work. When I have eliminated the ways that will not work, I will find the way that will work. I have successfully discovered 700 ways how NOT to make a light bulb”. And we all know that he did discover the light bulb after all.
In each case, the founders continued to try new ideas when their big ideas failed. On average, entrepreneurs experience?3.8 failures?before success.
‘’Being an entrepreneur is not about waiting for the storm to pass but rather learning to bounce back’’, said?Rebecca Callander.
Entrepreneurs don’t quit, they rebuild.
Kissing Frogs in the World of Fundraising??
They have to kiss a lot of frogs before one eventually turns into a royalty. Here, entrepreneurs will team up and deal with people they find difficult, but do so for the good of the company/startup.
They find the best business partners through struggle. Raising capital is not easy. It’s one of the hardest things entrepreneurs will have to do. Seeking financial help is a serious character test.
Instead of trying to please people when finding investors, entrepreneurs should focus on making themselves memorable. Finding a market niche and owning it is the key.
It’s possible by developing the know-how to the extent that you become the go-to person in your industry – the expert. Your message has to be completely consistent.
One of the biggest mistakes entrepreneurs make is to change their voice according to what they assume investors want to hear.
Instead of kissing frogs, go to those who share your vision and will understand the value you bring to the table.
Is Education Important?
College dropouts like?Steve Jobs, Bill Gates,?Michael Dell?(worth?$20.9 billion),?Julian Assange?and?Mark Zuckerberg?give entrepreneurship a romantic rebellious outlook. But?data tells a different story. Companies started by more highly educated founders tend to have more sales.
According to?a study on youth entrepreneurship, 81% of young people want to pursue entrepreneurship, but 62% don’t have entrepreneurship classes in college.
66% of small business owners around the world said that they believed their education system did not encourage individual ideas and dreams, two of the key ingredients in any recipe for entrepreneurship.
Modern universities have responded to this issue with care:
With programs like these, the days of students abandoning formal learning and training is over.
Knowledgeable But Not Know-it-Alls?
Ever heard the saying “If you are the smartest person in the room then you are in the wrong room.”
Entrepreneurs do not pretend or expect to be the smartest. Instead, they know when and who to ask for help. They surround themselves with intelligent and talented people.
Successful entrepreneurs know their market, their customers, and their business.
Entrepreneurs Rarely Come from Wealthy Families?
A?survey by the Kauffman Foundation?revealed:
This means the economy is built from the middle up.
?Observant and Good Listeners?
They seek to understand before they react. It is a fact that from 60 to 90 percent of our communication with others is through non-verbal communication. Being a founder requires mastering communication skills with multiple stakeholders like investors, customers, employees, etc.
Environmental specifics are highly beneficial to entrepreneurs.
More startups are founded by individuals belonging to business families. Role models develop the beliefs that: “if someone else can do it then I can do it too”.
It is also no surprise that new enterprises blossom in places offering:
Higher Emotional Intelligence Than Most?
Emotional intelligence improves an individual’s social effectiveness. It is considered one of the important elements of entrepreneurial success. A higher EQ leads to better social networking.
The relation between emotional intelligence and performance is clear. There is no significant difference between the scores of EQ regarding gender and age.
A higher EQ positively impacts the growth of new enterprises.
Problem Solvers?
Startup founders are strategic problem solvers and team players. Ever paid attention to methods used by firefighters for putting out wildfires?
It takes more than just spraying water. They have to go into the fire, with a simultaneous effort to contain the fire and keep it from spreading.
That task falls on the crew. The same is with successful entrepreneurs. They jump into the problem and lead the team, shoulder to shoulder.
Entrepreneurs are OK with Being Alone?
Spending some time on your own could be a way to focus on what has to be done. Having some me-time is a form of meditation for them – in the quietness of solitude some of their best ideas come to life.
Entrepreneurs know that people who work from 9 to 5 will never fully understand them. A person with a similar entrepreneurial background can understand their struggle.
Trusting the Right People is Key to Entrepreneurial Success?
Founders realize early on that it is hard to do everything alone, so they build complementary teams of skilled people. They trust the people chosen and learn to delegate tasks. Control freaks do not make good entrepreneurs.
Effectiveness Achieved Through Repetitive Efforts?
Entrepreneurs are doers, they do not mind getting their hands dirty. They can carry and fix things, manage clients, train the team, answer the phone, code the website. Many garage-based startups began with superior websites better than established corporations.
Almost?half of the founders (45.5%) began at least one startup?and around?21.2% started two or more companies.
Good leaders look directly at the facts. They know that operational efficiency and business excellence result from repetitive and consistent execution.
Repetitiveness can be boring, but this is the way. Entrepreneurs keep themselves and their employees focused, finding ways to make the daily repetitiveness fun.
Startup founders take action. They are doers. They are realists. Overanalyzing and perfectionism can be a curse. There is a saying: “Better do 80% today than 100% tomorrow”. Successful entrepreneurs live up to it.
Is an Entrepreneur’s Age a Factor of Success?
New research shows successful founders are far older than the Silicon Valley stereotype. Actually, 14% of all founders are 45 years or older.
The average age of a startup founder is about?41.9 years of age?among all startups that hire at least one employee.?For instance, industries like oil and gas can have average founder ages as high as 51.4 years old.
The average founders are 34.9 years old (male 34.9 years, female 35.1 years old). By the time they enter the early stages of a startup, most are (on average) 32.1 years old.
An Entrepreneur's Gender is no longer Relevant – Women are Gaining Speed
Speaking of gender, female entrepreneurs are under-represented in startups. Now Is the Best Time Ever for Women to Start Businesses. Globally, around 13-43% of the founders are women, depending on the region. Women who get involved in entrepreneurship tend to prefer working alone.
In addition,?34.8% of the female entrepreneurs are single-founders. At the same time, only?21.3% of the entrepreneurs started their company by themselves.
When the Start of a Startup Begins for an Entrepreneur?
According to the Harvard Business Review, approximately?70% of the Entrepreneurs began building on their startup ideas while still working at their traditional job.
Putting their reputation at stake is an acceptable risk.
Startup founders know that their reputation is always on the line. They know how to keep their name intact. Personal branding is part of the bigger picture for them.
They quickly learn to avoid situations and people that may have a negative impact on themselves or their company’s image.
Most Entrepreneurs are Thick Skinned?
An entrepreneur recovers quickly after a hardship. Ever heard the expression: “Fall eight times, get up nine.” For founders, wallowing is not their thing. They move on to the next big thing in the blink of an eye. Startup founders fall and pick themselves up until they get it right.
They do not get attached to their ideas. Successful entrepreneurs don’t get caught up in sentiment, they change their course when it’s necessary. Finding the perfect sweet spot takes trial and error, right?
They face rejection with a smile because they know who they are and what are they capable of, even when no one else is capable of seeing their value. While meeting investors or customers they face a lot of rejection, but for them, it’s part of the game.
Not Exactly the Employee Type – a Preference to be Self-employed or a Founder?
Around two thirds or 68.5% would rather begin another startup than work for someone else. In addition,?8.4% could imagine working as freelancers, and only 18.3% would work as employees in the future.
If founders′ current startups were to fail, the majority (80.5%) would prefer to be self-employed.
Successful Entrepreneurs are Smart with Their Money?
They mostly focus on how to earn money instead of spending. When it comes to cash flow for purchasing equipment, rent, maintenance or marketing, entrepreneurs focus on income versus expenses.
And since most new businesses don’t make a profit within the first year, setting money aside helps mitigate risks related to setups and failures.
Successful entrepreneurs obsess not over cash flow but over value.
Entrepreneurs are Persistent, Consistent and Grounded?
They do not mind the tons of paperwork they face each day. They perceive them as a part of the commitment. When something is written down it activates our memory and triggers commitment.
In the end what is committed to paper is what a person becomes committed to in life. Things scheduled are things that get done. Paperwork appears to be a blessing in disguise.
Furthermore, an entrepreneur is consistent. Founders need more consistency in their life so they start with what they can control – themselves.
They live in reality, not in a dreamland.
Entrepreneurs Like to be Involved with the Right People?
Entrepreneurs learn early on to surround themselves with supportive people who give positive criticism. In some cases, that means firing a friend or a family member.
Feedback is an important gift, especially when it comes from people who are aware of the pros and cons of a situation. Startup founders quickly find out that blind or negative support has no value. Some decisions are harder than others.
They build networks. What is the strategic importance of allies? Allies are not only for asking for help and support but mainly for building alliances. Relationships matter especially when they are long-term and mutually beneficial.
Enterprises that begin with two or more entrepreneurs, or have a tiny team that complements each other’s skills, manage to survive and have a bigger chance of success.
Entrepreneurs Personality Types
The two most common personality types among business owners:
Take the test and?find out more about yourself.
Successful Entrepreneurs Have a Global Mindset
Respecting others is a part of respecting yourself. Successful entrepreneurs respect other people and diversity. A global mindset is an opener when coming up with an idea which crosses borders and overcomes cultural boundaries.
Entrepreneurs Have High Levels of Focus
Ever heard of interval training. This is what entrepreneurs do best in business. They foresee where to direct their effort and focus, and give their best until the end. It’s a cycle – stop, evaluate, regroup and start again with something else.
Entrepreneurs Don’t Mind Choosing a New Direction
Not all who wander are lost. They know when to stop and focus on what matters most. Splitting their attention is practiced only until they choose a direction.
They switch direction with ease, doing it only when necessary. Though exits are not the end of the world, only 15% of entrepreneurs sold their company.
Entrepreneurs Know That Time is a Currency
They value time – their own and the time of those around them. They also try to outsmart time limits.
Entrepreneurs are priority-driven. This is the biggest secret behind mastering time. Startup founders build their days around their priorities. What must be first always comes first.
A True Entrepreneur Acts with an Intention in Mind
30.1% of founders shared that active operations have been discontinued intentionally.
When asked what happened to their former startups,?36.1% of foundersanswered that the company still exists and that they still own it or at least a part of it.
An entrepreneur can act unpredictably too – 14.2% of the founders left their startups with no shares remaining, though business operations continued.
Entrepreneurs Work on Developing Themselves
Entrepreneurs constantly have to acquire new skills. For them, success is a byproduct of efforts concentrated in obtaining knowledge.
They apply the Pareto rule in practice. Warren Buffet is a good example how to apply the 80% input and 20% output rule– he is reading, observing, thinking, networking, and analyzing data most of his time and taking action only when it feels right.
Entrepreneurs Know When to Say NO
For new business owners, it could be tempting to run after new opportunities coming your way. New ideas, new partners, new markets or last-minute requests from a client.
Success doesn’t come from spreading thin or people-pleasing, rather from the ability to prioritize opportunities.
Entrepreneurs Manage Change Well – Innovation is in Their DNA
Entrepreneurs embrace change. Every day they have a new set of problems to conquer. They have something in common with people in extreme sports. Hardships take out the best in them. They are like edelweiss – growing well in harsh conditions.
Not clinging to a bad decision is a part of it. Entrepreneurs choose the best decision, one that works and it is usually the first one.
Workaholics or Work-life Balanced?
They take a good care of themselves. Great business owners are typically well rested and healthy. By taking care of themselves, they are better at taking care of their business, employees, and customers.
Speaking of the entrepreneur work-life balance – it is about how many hours per week a person works??Research shows:
Experience pays off. One out of five entrepreneurs work less than 40 hours per week and are over the age of 40. When asked if they expected a change, more than a half answered they did not expect it anytime soon, and about ? anticipated an increase in their work hours.
Only 15% shared that they expect to work fewer hours during the year ahead. When asked if it is necessary to work as much as they do, 89% of the entrepreneurs answered they work so much because they enjoy it.
Still, they know when to stop. When asked how many hours they would like to work – only 1% of entrepreneurs want to work above 60 h/w. About 43% prefer to work around 40 hours per week. More than a half (56%) want to work less than 40 hours per week.
Increased Work Flexibility – Working the Weekends but Taking Vacations
All entrepreneurs admit that there are advantages to owning a business. Sure, many entrepreneurs work 55 hours per week, but they decide exactly when those hours are.
Entrepreneurs may be working during the weekends, but they do take vacations.
Even though most entrepreneurs are working weekends, they do take an extended break now and then, go to the gym, meditate, catch up with family and friends or just rest.
Business owners do get away from their busy lives and know that recharging is important.
Well, the vacation days may not be all in the summer. They rest out of the peak sales times.
“Maintaining focus on having fun isn’t just about rest and recuperation: When you go on vacation, your routine is interrupted; the places you go and the new people you meet can inspire you in unexpected ways. As an entrepreneur or business leader, if you didn’t come back from your vacation with some ideas about how to shake things up, it’s time to consider making some changes.” –?Richard Branson, Founder of the?Virgin Group
Innovation is a Part of Their Nature?
After the publishing of the book?Startup Communities, Brad Feld?had the idea of “give before you get” became a key to building startup ecosystems globally. Recently, startups have become among the largest creators of jobs and stand as catalysts for innovation.
An Entrepreneur is the one who builds a bridge to the future. Startups build not only new technologies but often have innovative business models. Innovative entrepreneurs start companies because they see opportunities where no one else does.
Why entrepreneurs tend to be more interested in fringe or unique fields first?
Well, there are many differences between entrepreneurs and small business owners?(Carland, Hoy et al., 1984; Runyan, Droge et al., 2008).
Another criterion that differentiates entrepreneurs from small business owners is the attitude towards innovation.
Innovative thinkers find management boring – 2/3 of the founders who started as a CEO either left the position or was asked to step down as they appeared to be unfit for the role.
Why?
Google is on the frontline of technological development, from AI to smartphones. In 2015 when the company decided to restructure its business, it created a parent company, Alphabet.
The startup became a home for experimental projects such as space exploration, immortality, and artificial intelligence. Google’s founders,?Larry Page?and?Sergey Brin, moved to?Alphabet, leaving?Pichai as a CEO at Google. They wanted to continue inventing and innovating, so they delegated the crown to a person they trusted.
A few quotes revealing what happens in a founders mind:
“Engineers like to solve problems. If there are no problems available, they will create their own problems.” –?Scott Adams
“There’s nothing I believe in more strongly than getting young people interested in science, for a better tomorrow, for all humankind.” –?Bill Nye
“Projects we have completed demonstrate what we know – future projects decide what we will learn.” –?Dr. Mohsin Tiwana
Inventive Visionaries?
Entrepreneurs see creative solutions where others do not. They are resourceful.
Creative people see the world differently
When entrepreneurs experience two incompatible stimuli, they experience “rivalry suppression”. Two opportunities blend, and become consciously accessible and turn into a new and creative solution.
Pablo Picasso said: “Others have seen what is and asked why. I have seen what could be and asked why not.”
The aspect of human personality that drives our creativity is called “openness to experience”. By having a creative vision, entrepreneurs see things that others screen out.
Genuine, Empathetic and Humane in Their Own Way?
Startup founders are patient when they have to be. Rome was not built in a day. They expand their personal limitations as well as the scope of their expectations.
They know they will never work from 9 to 5 and that is ok. Their typical workday never ends and is 7 days a week, 365 days a year.
Entrepreneurs are scared. Fear keeps them on their toes. Feeling nervous about failing can make them hyper-focused and willing to do whatever it takes to succeed.
Insecurity is a negative feature in most people – entrepreneurs make it work for them. It makes them very humane as they understand suffering better than most.
Great entrepreneurs lead by example and understand that a business is more about people than money or sales. They arrive first and leave last. It sends the right signal to team members and works as a magical team glue.
It is a powerful competitive advantage as no one wants to work with a fake. Entrepreneurs pursue a business often because they genuinely care about solving a problem or improving people’s lives in some way.
Entrepreneurs are Vulnerable in Their Own Way
They live in the NOW. Though they appear optimistic they also realize at any moment the possibility of losing it all. In a way, they feel truly alive. Staying awake and aware of what is best for you usually happens to those who “die” a little while they are alive.
Humans usually live as if they have unlimited time ahead. Most dream of having more time and at the same time waste their days and nights. They put living on hold until something planned for the future happens.
Entrepreneurs do not waste their time by living in the past or the future – they live in the now, building on their dreams as today is the last day they have on earth.
Opportunity Seekers?
An entrepreneur does not like to ask for permission and not because of a lack of respect for others. Entrepreneurs like to do things on their own. Many entrepreneurs seem to live by the motto: “Better ask for forgiveness than for permission”.
An Entrepreneur is never satisfied with the status quo. Founders believe that there is always more to be achieved. They do not aim for “good” but for “great”.
There are new and better ways for them out there. They constantly seek to improve themselves, their team, their company, and their situation.
Humble Believers?
Entrepreneurs have a strong faith and it makes them fearless. They put their homes on the line and run up their personal credit cards because they truly believe that the invested time and money will pay off one day.
Entrepreneurs consider themselves to be outsiders. They know that their views can be perceived as radical, over demanding and opinionated – and it is to them. Copying others does not seem right to them. They prefer to walk on roads less traveled or invent new ones.
Passionate Winners?
They focus on their A-game. They believe that if you believe in yourself you should not have distractions, like a plan b. Having a backup plan can hinder your main goal and make it fail.
An entrepreneur is driven by passion. Ever heard the saying “find a way to get paid for the job you’d do for free”. It turns passion into the most viable component which entrepreneurs possess.
?Conclusion
Entrepreneurs are changing the world, one solution, and one innovation at a time.
In conclusion, the anatomy of success can be broken down into five segments:
Entrepreneurship can be viewed as visionaries who are able to recognize potential?in their pursuit of opportunities. Being an?entrepreneur?requires taking on significant responsibility and comes with significant challenges and potential rewards.
While taking on risk and responsibility they innovate, by improving or inventing new ways to use resources. They seek and create value through solutions which are precious and meaningful to customers.
Entrepreneurship is in their DNA, their mindset and their attitude. They have a unique and rare approach to situations, people, things, and life.
The reasons behind their motivation and reasoning are multifaceted and diverse. From unfolding their potential to financial rewards. From pursuing value and unique interests to becoming the driving force behind social change.
Entrepreneurs are much more than?ordinary people with extraordinary determination. Their unique perception and focus determine their unique pathway and rare achievements.?Let’s celebrate their existence as they are here to make our world a better place.
Chief Operating Officer at Nordic Digital Solutions
5 年Never stop dreaming, and never stop working hard for your dreams
Graphic Designer
5 年Great article!