1.5.6 Moving from entrepreneur to leader

Question 1

Entrepreneur

Answer 1

a person who sets up a business , taking financial risks in hope of making a profit

Question 2

Leader

Answer 2

A person who has a vision and followers

Question 3

If an entrepreneur sets up a business and it becomes successful, the role an entrepreneur is likely …

Answer 3

the role an entrepreneur is likely to change as the business expands

Question 4

Eventually the small start up will stop being a small business and become…

Answer 4

-a larger company
-with an organisation structure
-and number of employees

Question 5

As a result the entrepreneur has to become a…

Answer 5

leader

Question 6

difficulties of becoming a leader (4)

Qualities
Stress
Ownership
Trust

Answer 6

• leaders need qualities e.g confidence, compassion and interpersonal skills -> some entrepreneurs may lack this
• Stress - larger businesses bring with them more responsibility e.g worrying about failure cash, employees, worrying about stakeholder needs , their own life
• Shared Ownership and control of their business (notes)
• Trust - when hiring employees or taking on a business partner an entrepreneur will have to learn to trust others -> some leaders may find this difficult

Question 7

overcoming difficulties

How to overcome difficulties - 3 points

Answer 7

delegation & trust - utilize qualified employees to lighten workload

Education - complete leadership development courses that aid your qualities

Stress management - use approaches to reduce stress levels and find time to relax