I came across this blog post by Rhonda Abrams on USA Today about different motivations individuals have for starting a business. A short and insightful article, she describes four categories – Actualizing Activity, Solo Sustainer, Balanced Business and Visionary Venture – based on the scale and scope of the business.
To briefly summarise what Rhonda Abrams describes:
Actualizing Activity - a business that you don’t rely on for an income as you already have other sources of income or need very little to survive on.
Solo Sustainer – this is the one man/woman show that rely on exchanging their service for income.
Balanced Business – this category of business provides a career for the owner and their employees. It’s small enough for the owner to have control while having the possibility of further growth.
Visionary Business – these are ones that you read about in the media! They’ve got a big vision, huge risks, and require large funds to operate. More fail than survive.
In my personal experience, many corporate escapees start with an actualizing activity (as they straddle their regular jobs with their entrepreneurial activity), or a solo sustainer business. This is driven by their desire to start small, minimize risk, contain costs and to pursue something they love doing quickly. Over time, they increase their income and scope of the business. Some want to go big with multiple offices, others prefer remaining small and working on strategies that will enable them to increase their income without necessarily getting into high debt, hiring full time staff or spending more time working.
Before starting a business, think about want you want your lifestyle to be like in the short, medium and long term and plan accordingly. If you’re already in business and find that your outcomes have changed, it’s never too late to implement new strategies that will change how your business works to suit your goals and desired lifestyle.
About Kathleen Alexander
Kathleen Alexander is a coach and consultant who shares ideas on how to innovate, thrive and do what you love through your business or career.
Hello Kathleen
I have a small Life Coachng business and I contract myself out as a Vocational Trainer/Assessor to keep money coming in. I guess my business would be categorised “Actualizing Activity”.
I just wanted you to know that I really enjoyed reading your website details and wish you all the best in your business.
Cheers
Debbie James
Hello Debbie
Thanks for sharing. It will be interesting to see if you choose to change categories as time goes.
Being in the “Actualizing Activity” you get to build your business (if you choose to) without over-relying or worrying on it for income (especially handy in the early phase or during quiet times).
Kathleen