7 Common Misconceptions About Entrepreneurship

author Morgan Stout
Morgan Stout
  |  August 3, 2021
function does not exist

Many misconceptions exist about entrepreneurship. The word “entrepreneurship” has become so trendy that a plethora of ignorance has attached itself to the buzzword. But what is entrepreneurship really, and what misconceptions has society contrived for its meaning? Let’s look at these 7 common misconceptions about entrepreneurship.

#1 – Entrepreneurship gives you more free time.

I think I just heard a few entrepreneurs laugh as I wrote that last headline! They know all too well how easy it is to fall into this trap. Entrepreneurship is an all-consuming lifestyle, and it’s hard to juggle your day job with the responsibilities of running a business.

#2 – You have to be a natural-born leader.

natural-born leader

Many believe that if you don’t naturally have a “leadership personality,” entrepreneurship is not possible. In reality, there are a lot of A-type and B-type personalities. If you are a B-type personality, entrepreneurship is still possible. You need to find a way to compensate for your lack of natural charisma or hire (or partner with) someone that compliments you.

#3 – You need a novel idea.

Many people believe that entrepreneurship is all about having a novel idea. In reality, an entrepreneur needs to have the knowledge and skillset required for their industry or niche.

Entrepreneurship success typically comes from one of two sources: (A) providing something better than what currently exists in your industry or niche OR (B) creating something new OR (C) doing what is already being done in an area where the market can support another competitor.

#4 – You have to go it alone.

Many people believe that entrepreneurship is about going it alone. In reality, partnerships are often a necessity for entrepreneurs.

A partnership between two or more people is a powerful thing. It allows you to contribute your unique skills and talents, which will lead to more tremendous success than if either partner was working independently.
If a partnership isn’t suitable for you, but you don’t have the resources to hire a full-time team, you can outsource the tasks that your company needs on a project-by-project basis.

#5 – Entrepreneurs are their own boss.

It can depend on the type of business, but for the most part, entrepreneurs are still accountable to someone on some level. For example, if you are the owner of a restaurant and your partners have invested in this business with you, they will expect to be involved. If not on a day-to-day basis, then at least periodically (such as once every quarter).

entrepreneur own boss

Or, if you have clients who need projects done, you will need to hold yourself accountable to be accountable to them. If you don’t, then they will keep you responsible, “where is my deliverable!?”

#6 – Employees are only motivated by money.

It is widely believed that employees are only motivated by money. But in reality, most employees are encouraged by more than money! Some people have personal motivations to better themselves, and your business is a way to work toward that goal. They get the training and experience and, as they get better, you get to share in the benefits. Sure, they might leave for other opportunities, but you can foster an environment of growth for the time you have them.

While it may seem counterintuitive, creating an atmosphere of growth and positivity will help to attract (and make) the best minds out there. With that much “mind share,” you stand more to gain than one person deciding to go elsewhere…and with that positive, why would they want to?

business school is the only path

#7 – Business school is the only path to entrepreneurship.

Many people (especially those in college) believe that entrepreneurship is impossible without a business school degree. A degree can help, but it’s also an expensive way to learn what you need to know about running your own company!

Fortunately, many resources are available online for a free or meager cost through universities and other sources. In today’s internet-saturated society, there are many great courses out there for learning about entrepreneurship.

In fact, here is a great course I know of personally.

Never let anything, anyone, or any belief you have ever had act as a brake on your potential. Many very successful businesses were started by people who didn’t have any education, a pot too (you know what), or a window to throw it out of.

Colonel Sanders was broke into his 60’s before he started KFC…the guy who started the Dollar General store had a 3rd-grade education. If these guys had stopped with their limitations, they would have never achieved success.
Don’t stop; keep going (or even get started)!