Solopreneur vs Entrepreneur [6 Differences]

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We always hear the discussions between solopreneur vs entrepreneur to understand which one you should choose. This is exactly what we are going to uncover today by understanding the difference between solopreneur and entrepreneur.

Do you enjoy working independently?

Do you have the passion to be an independent owner?

Do you have a fantastic business idea that you want to bring to life from concept to execution? Does the thought of managing a team of employees make you cringe?

If you said yes to these questions and dream of being your own boss, you might find enjoyment in working as a solopreneur.

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What is a Solopreneur?

A solopreneur is an individual who independently starts and operates their business, without the support of a co-founder or W-2 employees. In simpler terms, a solopreneur is an entrepreneur who handles all aspects of their business on their own.

Career opportunities for solopreneurs are on the rise, with an annual projected growth of 3.6% for independent workers. To be specific, 82% of independent workers express feeling happier working alone than they did in traditional companies.

Given the high satisfaction and increasing opportunities for independent workers, pursuing a career as a solopreneur can provide the sought-after flexibility for those who wish to create and run a business aligned with their lifestyle.

Now, you might be wondering — what sets apart your typical entrepreneur from a solopreneur? We’ll delve into the distinctions between each career in the next section.

Solopreneur vs Entrepreneur

Curious about the distinctions between being a solopreneur and traditional entrepreneurship? It’s crucial to understand that while all solopreneurs are entrepreneurs, not all entrepreneurs are solopreneurs.

By definition, an entrepreneur is someone who initiates and operates their own business. However, they might not handle all aspects of their business independently as a solopreneur does. Let’s delve into some of the key differences between these two roles.

6 Differences between Solopreneur vs Entrepreneur:

  1. Solopreneurs are both founders and employees
  2. Entrepreneurs often hire and manage a team
  3. Solopreneurs have a single business focus
  4. Solopreneurs are not building a business to scale
  5. Differences in financial management
  6. Solopreneurs often have minimal workplace requirements

1. Solopreneurs are both founders and employees

A solopreneur is someone who independently oversees every aspect of their business and doesn’t heavily depend on delegating tasks to others. They not only serve as the founder and creator of their business but also bear sole responsibility for producing and delivering the products or services that sustain their business.

In certain situations, a solopreneur might enlist the help of a contractor or freelancer for specific tasks. However, this is usually not a regular part of the day-to-day operations of a solopreneur-run business.

2. Entrepreneurs often hire and manage a team

Many entrepreneurs begin by running their businesses independently and later on, they bring in others to handle their day-to-day responsibilities.

In contrast to a solopreneur who independently manages business operations and performs tasks necessary for delivering products and services, entrepreneurs frequently delegate the fulfillment of products and services to their employees. This allows them to concentrate on the overall management of the business.

Once entrepreneurs assemble a team, they typically transition into a managerial role, overseeing the work of their employees.

3. Solopreneurs have a single business focus

Individuals opting for a career as a solopreneur often aren’t aiming for serial entrepreneurship. Solopreneurs typically initiate their businesses to provide a specific niche offering and concentrate on establishing a consistent customer base to ensure profitability.

However, their goal isn’t necessarily expansion. This approach allows the business to remain manageable for one person who intends to continue operating it independently.

For instance, a solopreneur offering social media management services to small businesses is more likely to focus on delivering a set of packaged services that they can fulfill for their clients.

In contrast, an entrepreneur overseeing a marketing agency with a team of 10 might offer a broader range of services like social media management, brand consulting, and content creation. This expansion is possible due to the larger team, and they may consider adding more services as the team continues to grow.

Related: Examples of brand personality

4. Solopreneurs are not building a business to scale

Many entrepreneurs aim to build their businesses with the intention of growing and scaling them for a profitable sale in the future. Although not every entrepreneur shares this goal, it is a more prevalent aspiration among those who oversee companies compared to those who independently run their businesses.

Many solopreneurs and independent workers are focused on establishing a profitable business that they can personally run, work in, and sustain for their livelihood. Their aim is not necessarily to build a business empire or sell it to another entity.

5. Differences in financial management

As a company grows larger, the owner shoulders increased financial responsibility. Entrepreneurs with employees not only have the task of managing a profitable business to sustain and compensate their team but also need to ensure that aspects like payroll, benefits, and taxes are accounted for within their business structure.

Solopreneurs, on the other hand, often opt for simpler business structures like a single-member LLC or sole proprietorship. These structures are easier to manage and provide the owner with complete decision-making authority.

6. Solopreneurs often have minimal workplace requirements

Many solopreneurs, offering a specific set of remote services, often have minimal workspace requirements, typically necessitating only a computer and internet connection based on their work scope. In fact, 15 million small businesses operate from home.

Entrepreneurs, on the other hand, may encounter more intricate workplace needs contingent on their business nature. Business owners dealing with physical products often require space for product creation, storage, and work facilities for their employees.

Related: Profitable product business ideas

Now that we’ve explored the distinctions between these two professions, let’s delve into the stories of a few successful solopreneurs in unique fields.

3 Solopreneur Examples

Starting a self-led business can take various forms, and all it requires is the determination to bring your idea to fruition. Here are some instances of successful solopreneurs:

  1. Jackie Aina
  2. Alex Trochut
  3. Farnoosh Torabi

1. Jackie Aina

This solopreneur started creating makeup tutorials on YouTube from her home in 2008 and has become one of the most influential beauty gurus on the platform. She shares tips on applying makeup for deep complexions, offers skincare tutorials, and encourages self-confidence, reaching over three million subscribers.

2. Alex Trochut

Trochut studied design, with a focus on typography and the visual translation of language. He has crafted vibrant and immersive designs for various global companies, including Pepsi, Audi, Fila, and others.

3. Farnoosh Torabi

Farnoosh Torabi, an award-winning personal finance expert, podcaster, and author, possesses a journalism degree and editorial experience with Money Magazine and Oprah Magazine. As a solopreneur, she established her own podcast, So Money, offering tailored financial advice to address her subscribers’ personal needs and goals.

18 Solopreneur Business Ideas

Feeling inspired?

There are numerous avenues to explore if you’re considering becoming a solopreneur. Here’s a list of solopreneur ideas that may help you find yours.

  1. Airbnb Host
  2. Personal Trainer
  3. Graphic Designer
  4. Artist
  5. Photographer
  6. Furniture Refinishing
  7. Event Planner
  8. Freelance Writer
  9. Web Designer
  10. Baker
  11. Child Carer
  12. Farmer’s Market Vendor
  13. Language Teacher
  14. Musician
  15. Cleaning Service
  16. Personal Accountant
  17. Content Creator
  18. Podcaster

1. Airbnb Host

Renting out a portion of your home or a separate space on Airbnb is an excellent way to generate income while you pursue other passions. In this solopreneurship path, it’s essential to stay on top of routine maintenance, house cleaning, and ensuring satisfied customers to enhance your credentials on the app compared to your competitors.

2. Personal Trainer

Are you passionate about fitness, whether it’s CrossFit, boxing, or another discipline? Showcase your expertise on social media to connect with clients seeking personal trainers who can provide one-on-one guidance.

3. Graphic Designer

If you possess artistic flair and digital art skills, venturing into solopreneurship as a freelance graphic designer could be an enjoyable path. Showcase your portfolio and assist businesses or entrepreneurs in enhancing their social media presence with your creative logos, banners, and more.

4. Artist

Whether it’s abstract paintings or realistic sculptures, selling unique artwork is a distinctive way to generate income. If your art has a distinct style, label it as such on social media, and you’ll discover numerous art enthusiasts eagerly anticipating your next masterpiece.

5. Photographer

Capturing special moments as a wedding photographer, graduation portrait artist, or for other occasions is a fantastic way to run your own business. People seek a passionate photographer to immortalize these cherished moments, so put yourself out there and build your portfolio.

6. Furniture Refinishing

Homeowners are willing to pay a premium for vintage furniture pieces that can’t be found in regular furniture stores. If you have skills in woodwork or reupholstering pre-loved furniture, there’s a broad market for your services to explore.

7. Event Planner

Handling event planning logistics can be a headache for anyone, and many people don’t mind seeking a helping hand. If you’re skilled in problem-solving, organization, and communication, then event planning could be a great avenue for you to work in.

Related: How to write a business plan

8. Freelance Writer

Some small business owners might not have the bandwidth to write blogs or product descriptions. By offering freelance writing services, you can establish a relationship with a business and gain credibility as you grow in your field.

9. Web Designer

Not everyone is tech-savvy, and many businesses could benefit from having a seasoned web designer to showcase their product or service. This avenue of solopreneurship will always be in demand for business development, especially for older ones looking to revamp their existing web pages.

10. Baker

Baking is not an easy skill, and plenty of people would pay for desserts they can’t make on their own. You don’t have to own a bakery to become one either; you can create special cakes and other pastries from your own home and deliver them directly to the customer.

11. Child Carer

Traditional daycares are extremely expensive and nerve-wracking for parents leaving their children in a building they’re unfamiliar with. By offering services as a child-carer, you can take care of children in their own family home, where you’ll devote your full attention to them individually versus in a group.

12. Farmer’s Market Vendor

If you have a green thumb for growing herbs and vegetables or have other homely items you’d like to sell to your community, consider becoming a farmer’s market vendor. People are currently looking to support local businesses, and selling to people in your community can help you make money and build relationships.

13. Language Teacher

Being bilingual is an impressive skill that many people would pay to acquire. Language teachers can charge clients by the hour to learn a foreign language, and even more if taught in a one-on-one setting.

14. Musician

You don’t need to be signed to a record label to sell your music. If you enjoy recording songs or performing live, you can book gigs at local venues and share your work on streaming services like Apple Music or Spotify for profit.

15. Cleaning Service

Providing a cleaning service can assist businesses in maintaining their space regularly or even help individuals manage their homes. Some people might not have the time or energy to keep up with cleaning, so offering this service can be a consistent and rewarding business.

16. Personal Accountant

Bookkeeping may not be everyone’s strong suit, and many small businesses often seek out professional personal accountants for assistance. If you maintain your customer’s trust and demonstrate transparent budget-keeping, you can establish a long-term business relationship.

17. Content Creator

YouTube, TikTok, or any social media platform you are familiar with is filled with content for every interest. Create visual tutorials, act out comedy sketches, or record yourself doing what you love for viewers around the globe to enjoy. 

If you gain enough traction, you can become a paid ambassador for various brands, the social media channel itself, or even sell your own merchandise.

18. Podcaster

In 2021, 56% of all Americans, aged 12-34, listened to at least one podcast per month. Take advantage of its rising popularity to explore topics you love and turn it into a stream of revenue.

Final Thoughts

Whether you decide to be a solopreneur over entrepreneur, by handling all tasks related to your business, or an entrepreneur managing a team and growing a company to scale, working for yourself can be a rewarding experience. The best route to take will depend on the nature of your business and your personal preferences.

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