What Type of Entrepreneur Are You?

What business or business opportunity should I getpeople, but do not have the desire to start
into? As the Director of Blackstone Hathaway, asomething from scratch. They are generally younger,
franchise management and marketing company, asalthough not always, and want the run-up in valuation
well as franchise business consulting, I have beenthat comes from starting a business from scratch
asked this question four or five times a week for thewithout the risk of a pure start-up. Franchising is the
last twenty plus years. Years ago I would share myperfect business model for these individuals. They are
thoughts on this question by discussing various typesexecutors, motivators, and drivers; they have a
of businesses in vogue at the time. However, overstrong tendency to be a part of something bigger.
the years I have come to realize that it is not soThey are team players. They have a strong value
much the specific business that is important -system and tend to be extraordinarily
although certainly the specific business is important -customer-centric. Franchising offers the perfect outlet
but a more important question is "what type offor Franpreneurs to extend themselves, because
business model" is the best fit for the individual askingfranchising allows the Franpreneurs to start a
the question. Let me explain.business from scratch without the business being a
There are generally five options for someone who ispure start-up. Franpreneurs generally want a longer
transitioning from the world of traditional employmentexit horizon than Extreme Entrepreneurs or
to the entrepreneurial environment. These optionsBuypreneurs. However, some members of the
are different for every individual. Depending onBoomer generation are able to execute at this higher
background, aptitude, stage in life, incomelevel because their experience and background
expectations, and the eventual exit horizon, theenables them to quickly succeed and achieve a highly
option chosen will vary.profitable exit in half the time of other, less
To help you better understand each of theseexperienced Franpreneurs. You can reduce the risk
options, brief overviews are covered below:for a business start-up if you start your own
1. Extreme Entrepreneurs. These are individuals forbusiness with a business start-up guide for owning a
whom starting a business is the best strategy. Thisfranchise today, whether it is a business franchise or
choice is best for individuals who are trueretail franchise. Franchise information on franchises
entrepreneurs. There are two extremes of trueand franchise opportunities is readily available on the
entrepreneurs. At one end are the individuals who areInternet by just typing franchise into Google.
the happiest sailing their own ship, making all of their4. Mepreneurs. Those who do not have the capital or
own decisions, and who usually have ten new ideasthe entrepreneurial aptitude are generally better off
before getting out of the shower in the morning.to sell their expertise. These individuals, in general, are
They get their rush from invention. They rarely takehighly knowledgeable in a specific discipline.
the time to develop a business plan. They launch oneConsultants are much like brain surgeons. They know
business, get bored after it is up and running, andwhere to cut, how deep to cut, and how to extract
either sell the business or turn it over to others tothe tumor in a fraction of the time that a general
manage and they are off to the next venture.practitioner would require. They can be worth their
On the other end of the spectrum are thoseweight in gold. They gain an enormous amount of
individuals who like to make their own decisions andsatisfaction in helping others, which is what gets
sail their own ship, but are more focused on the jobthem out of bed in the morning. They also crave
at hand and stick to one business for years. Theyvariety and are easily bored with repeating the same
are multi-skilled individuals who enjoy marching toroutine day after day. They relish change, challenge,
their own drums, instead of worrying about whatand being able to see the results of their work in
others think of them. They are inventive, but notweeks-not years. They enjoy moving on to the next
irrational in their view of the world. These are theconsulting gig.
people who never fit into the world of traditional5. Maybe NOT-preneurs. This fifth option in answering
employment, and once they spread their wings ofthe question of what type of business model suits
entrepreneurship, they catch market updrafts andyou best - might turn out to be "none." When serious
build very successful businesses.thought is given to this question, the realization
2. Buypreneurs. These are individuals for whom thedawns that being any type of entrepreneur is not in
best choice is purchasing an existing business andthe cards for you. It might be that your risk profile is
becoming business owners. These individuals aretoo conservative, the capital is not available, or
more security conscious and have a standard of livingperhaps juggling 10 things at once is frightening to
to maintain. They generally have a much loweryou. Whatever the case, some people should NOT
threshold for risk. They are not innovators and evengo into their own business, but should remain in the
though they have entrepreneurial profiles, they aretraditional employment environment.
very much in moderation. They still have a strongThere is no right or wrong answer. The best choice
desire to do their own thing, but are not creativeis what is best for YOU. Regardless of which of the
enough to think of a business concept from scratch.first four personality types you are, the book
They tend to be able to improve on things that areTransitioning From Employee to Entrepreneur will
already working and proven. They also tend to beprovide you with valuable insight about how you can
much older and better capitalized. Their exit horizon istransition from the world of traditional employment
generally much shorter, so they do not have theto that of an entrepreneur.
luxury of time to wait for a business to grow over aIf you decide that becoming an entrepreneur is for
period of years.you, and you find the business model that is right for
3. Franprenuers. These are entrepreneurs who are ayou, then you can focus on the specific type of
perfect blend between the Extreme Entrepreneurbusiness you want to get into.
and the Buypreneur. They are usually aggressive