Moving from entrepreneur to leader 1.5.6

Question 1

What is an entrepreneur?

Answer 1

Is a person who supports an opportunity and shows initiative and a willingness to take risks in order to benefit from the potential rewards.

Question 2

What is a leader?

Answer 2

A person that can inspire others and motivate them to meet objectives.

Question 3

What is there likely to be a growth in if the business is successful?

Answer 3

• Number of employees
• Number and size of financial transactions
• Number and size of customers
• Amount of regulation
• Quantity of resources used
• Level and range of communication needed

Question 4

The need for formality:

Answer 4

Small businesses can be run on an informal business. However, in a large organisation, where the entrepreneur becomes a leader, there is a need for formality. There will have to be formal communication channels that are recognised and approved by all staff.

Question 5

The need for shared formality:

Answer 5

When businesses grow they need capital to fund expansion. To obtain funding it is sometimes necessary to invite new owners to contribute capital.

Question 6

What are some changes when you move from an entrepreneur to a leader?

Answer 6

• Greater responsibly to others
• The need for motivation and inspiration
• The need for strategy and vision

Question 7

What are the difficulties in developing from an entrepreneur to a leader?

Answer 7

• Adapting the mindset
• Stress
• Sharing ownership and control
• Learning to trust others and not feel I need to constantly oversee everything on micromanage.
• Reluctance to handover control makes it difficult to delegate
• Lack of leadership qualities

Question 8

How can you overcome the difficulties from moving to an entrepreneur to a leader?

Answer 8

• Delegation and trust
• Earn respect
• Maturity and experience
• Education
• Reduce stress