What’s profit all about? Per Merriam-Webster, profit has five definitions, one of which is the compensation accruing to entrepreneurs for the assumption of risk in business enterprise as distinguished from wages or rent. This definition is important to grasp and apply. In short, profit is reward for risk. Business owners are reminded daily there are no guarantees, and that every transaction, customer, employee, supplier, relationship, etc. has risks. We only take these risks

Every business owner has a viewpoint, and here’s why I share mine. Social and mainstream media is inundated with business-related information, which mostly comes from two groups. 1. Natural entrepreneurs were born to own a business, evidenced by their childhood lemonade stands, newspaper routes or lawn-mowing businesses. 2. Business professionals are well educated, usually holding MBAs, and articulate. They use their systematic thought processes to provide valuable in

Until now, I’ve been focusing on the difference between a business owner and entrepreneur, but there isn’t one. Business owners are entrepreneurs because of the risks they take. However, not all entrepreneurs are the same – and the difference has to do with risk. Approximately 90% of entrepreneurs seek to serve existing marketplace behavior. The rest, which I’ll now call entrepreneurs², seek to change marketplace behavior. This distinction is important to understand because a