Why You Should Become An Entrepreneur In Nigeria – Self-employment and entrepreneurship are often used interchangeably and are many times confused to be the same. While the two terms might almost mean the same thing, they are quite different. You can be self-employed but you are not an entrepreneur; you are already seeing a slight difference right?
The truth is that not all self-employed are entrepreneurs but all entrepreneurs are self-employed. When we say self-employed, we mean that you are actually working for yourself. You are not working under an employer and following any strict rules; any rule you follow was definitely set by you.
In this article, we will be doing our best to spot out the differences between a self-employed person and an entrepreneur so that you will get a clear picture of where you stand.
Whether you are self-employed or an entrepreneur, the thing is you have something that fetches you money to meet your needs and pay off bills. Let’s look at the definition of these two terms below.
Who Is An Entrepreneur?
An entrepreneur is a person who develops an enterprise around an innovation. He or she identifies problem and turn these problems into business opportunities with the motive of starting up a business. An entrepreneur is willing to start up a new business or expand an existing one and in the process, assumes the risk of the business to achieve success.
An entrepreneur is a creator, inventor and innovator; you decide to make an idea a reality even if the idea might not necessarily be yours. As an entrepreneur, you are in charge of making decisions for the business. The entrepreneur sits in the driver’s seat and has the ability to change direction, accelerate, slowdown or even shut down the enterprise.
An entrepreneur is self-employed but they create something new or something different out of nothing.
Who is a self-employed person?
A self-employed person is someone who works for him or herself. This person has no particular commitment to a company or employer as they can work for different clients as an independent worker. A self-employed person works at his or her own convenience and pace and is not necessarily under any strict rule set by an employer.
Anybody working for themselves or independently whether as a freelancer, business owner or entrepreneur, you are seen as self-employed as you answer to no one but yourself. You do what you do because it benefits you and brings you income.
What Are The Differences Between A Self-Employed Person And An Entrepreneur?
Like we have mentioned earlier that not all self-employed persons are entrepreneurs; because you work for yourself and earn money doesn’t make you an entrepreneur. Though the qualities of these two might seem similar, there should be a difference in the way you view them.
- A self-employed person is seen as the face of their business as they do everything themselves and so if they are constantly absent from the business, the business would fold.
An entrepreneur even as the boss doesn’t need to be around the business to progress. The entrepreneur hire employees that know the vision and mission of the business and so even if they are not there, the employees know what to do and how best to do it.
- As a self-employed person, you might not really have a business as you could move from place to place to sell your goods or render your services.
An entrepreneur always has a business where they hire people to work. The entrepreneur is involved in the management, supervision and control of the business venture. They ensure that the business continues to survive and thrive even in their absence.
- As a self-employed person, you most times work alone like a freelancer, repairman etc. the goal and vision of what you do depends on you alone. If you work, you earn and if you don’t work, you don’t earn money.
An entrepreneur is quite different as you hire people to work for you either as a team or as an employee. You and your team work together to achieve the goal and vision of the business. Even if you are not there with the team, work continues and whether you work or not, you still earn.
- A self-employed person doesn’t really want to establish a business; he or she is okay with working for clients and getting money to pay off bills. They think small as they don’t see the need of establishing a business venture.
An entrepreneur is business oriented and is driven by profit. The entrepreneur sees problems as business opportunities and in offering solutions to the identified problems, they establish a business venture. They are creative and global thinkers that understand why they should meet the needs of people on a large scale basis.
- A self-employed person is not a risk taker. He or she doesn’t see the need for taking risk as they feel they are okay with where and how they are. They might be creative but it is on a small scale and in a limited way as they do not push for change.
An entrepreneur is a risk taker. He or she is driven with passion and determination to expand and improve. An entrepreneur always wants to explore and try new opportunities thereby making them game changers in every society you find them. They understand the importance of taking risk and the effect of taking risk too. They do well to take calculated risk and even if they fail, they prepare to come back better and stronger.
- A self-employed person mostly does everything on his or her own because they are independent workers or contractors.
An entrepreneur sees the need to delegate responsibilities to people as he or she understands that they cannot do everything alone. They know that for their business to succeed, they will have to work with the right people as this will increase efficiency and profitability.
- A self-employed person is paid on a per job basis. After rendering their service or selling their product, they get paid and move to the next deal or gig.
An entrepreneur is not after delivering jobs but creating a long-lasting business that would yield profit in a long run. Whether they are rendering services or selling products, they motive is building a customer base for their business and maximizing profit in a long run.
- A self-employed person does not really have to face any requirements or restrictions in doing his or her business.
An entrepreneur has to deal with some legal requirements like business registration, tax payments, insurance and employees welfare.
- A self-employed person is the sole owner of the business and so if he or she passes away or retires, the business will come to its end.
An entrepreneur’s business on the other hand is quite different. The entrepreneur is the owner of the business but the business is not dependent on the existence of the entrepreneur. The entrepreneur sets the legacy of the business and even in his or her absence, the business will still thrive.
- A self-employed person is not an inventor or innovator. They do not create or invent new things that they could use to apply for patent. They work for clients who might be an individual, firm or government.
An entrepreneur is a creator, inventor and innovator. They create new things through which they can apply for patent to start up their business. Even if they do not product new products, they modify already existing products to meet the needs of the people.
With these points we have highlighted in this article, you should be able to point out which category you fall under. Are you just self-employed or an entrepreneur? It is good to be self-employed but most times being self-employed will limit your ability to expand. Being an entrepreneur is the real deal and in a country like Nigeria, establishing a successful business will help you survive in an economy as this.
Why You Should Become An Entrepreneur In Nigeria
There are a number of reasons you should become an entrepreneur in Nigeria but we will be listing a few of them. You are not new to the unemployment situation in the country and one way to survive is by establishing your own business.
Let’s look at what you stand to gain being an entrepreneur…
- You get to be your own boss
This is the sweetest part of being an entrepreneur. You are your own boss; you control your life and control the people you work with. Being an entrepreneur gives you a chance to control how you work and what you do. You control every part of your business and make every decision. When you are entrepreneur, you get to work for no one but yourself.
It gives you a level of independence and freedom and you get to choose the people you hire to work for you. You are not restricted to any rules except the rules you set for yourself to help you achieve success.
- You are in control your life
Being entrepreneur puts you in a position to be the master planner of your life, you get to make decisions and shape your destiny. It is being said that your destiny is in your hands. Being an entrepreneur makes you take control of your destiny and control the pace and success of your life. But when you are under an employer, your success or financial status is tied to the success of your employer.
Here, your financial status is tied to the success of what you do and how you do it and so you will have to work harder and smarter to become a successful entrepreneur.
- You become a job creator instead of a job seeker
As an entrepreneur, you are definitely a job creator either for yourself or for others. Running a successful business outfit will stop you from searching for job after leaving school as you have something you can do and also employ others.
You would leave the job market and instead of being an employee, you will become an employer of labour. The unemployment situation of the country is not funny and even if you are employed, you might receive less than what you work for this is why becoming an entrepreneur will make you a job creator instead of a job seeker and change the world you live in.
- You become creative and innovative
One of the qualities of an entrepreneur is creativity and innovativeness. An entrepreneurship mindset makes you identify problems around you that needs to be solved and inspires you to generate ideas to turn these problems into business opportunities.
In Nigeria, there are a lot of business opportunities if you look closely and regardless of the present economy situation in the country, you can actually set up a business and nurture it to grow. Even after establishing your business, you still generate creative ideas to expand the business and attain future greatness.
- You choose the time you work and number of hours
Being an entrepreneur gives you a great level of freedom as to the time you work and the hours you choose to work. You deciding to start work early and late depend on the output you receive and your capabilities. Entrepreneurs are always encouraged to work hard and smart especially in Nigeria. This is because it all for your own good. Being an entrepreneur gives you the time needed to organize your family and also your life.
- You can work from anywhere you want
As an entrepreneur, you might have a particular place where you go about your business, you can also build a system that give you the flexibility of working from anywhere either whether your home or café. This certainly depends on the type of business and industry but since you are independent, you can decide to set up a business that you would be able to operate from anywhere you are owing to the present situation of the world.
- You build a legacy
Like we mentioned earlier that entrepreneurs are inventors and innovators; they don’t just build businesses, they build legacies that would last a lifetime and is being passed on to family members. As an entrepreneur, you build your company from the scratch, having control of every activity even if you have people working for or with you. You get to nurture your enterprise until it becomes a legacy that you would leave behind.
- You are the one making your money
You know as an employee, you work for someone else and get paid for the work you do in the company but this payment comes as either salaries or wages. The company pays you an agreed amount of money even if you work harder but as an entrepreneur, when you work harder, you make more money. You get the opportunity to take all the money you work for as the business is your own. The amount you earn is up to you to determine and not a negotiation with anyone.
- Contribute to the society
Entrepreneurs are game changers in every environment they find themselves and also they contribute to the growth and development of a country so as an entrepreneur, you will also contribute to the society you find yourself either by creating employment opportunity or meeting the needs of the people.
- No hierarchy that may delay decision making
When you are working as an employee in a corporate environment; no matter how creative you are, you will still have to relate your idea to a higher authority for it to get approve and in this process, your idea can be stolen or someone could take credit for it. But as an entrepreneur, every idea you come up with that will boost the growth of your business could be implemented right away without waiting for anyone to approve it.
You know that the growth of your business depends on your ability to think outside the box and so you get motivated to give your business the best you can come up with and also hire people that can take the business to greater heights.
- It offers you a better work-life balance
Balancing your work and life in order to make out time for family could seem difficult especially if you are working for an employer where you would be expected to be punctual at work and sometimes you’d have to come back home late unlike being an entrepreneur where you choose the time you go to work. As an entrepreneur, you could make out time to be with your family as you get to choose when and how you work.
Like we have mentioned in this article, not all self-employed persons are entrepreneurs as being an entrepreneur means you would have to go deeper, identify problems and turn these problems into business opportunities. Whether you are self-employed and don’t have a business venture or you are an entrepreneur with a business venture the good thing about it is that you are independent and employed so you wouldn’t have to worry about unemployment or under-employment.
It is very important that you start looking at how you could become an entrepreneur especially in a country like Nigeria so you can leave the job market and become a job creator for yourself and others.
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