What Does a Business Owner Do? Exploring the Many Hats Worn by Entrepreneurs

Have you ever wondered what it means to be an entrepreneur? Well, I’m here to fill you in on the exciting world of small business ownership. As a business owner myself, I wear many hats and take on various responsibilities to keep my venture running smoothly.

First and foremost, I am the captain of my ship, the one who steers the course and sets the vision for my business. I have to come up with innovative ideas and make important decisions about the direction I want to take. Every day, I ask myself, Where do I want to go, and how can I get there? It’s like being the conductor of a symphony, bringing all the different pieces together to create something beautiful.

But being an entrepreneur is so much more than just dreaming big and making plans. I also have to be a jack-of-all-trades, taking on various roles to keep everything running smoothly. One moment, I might be the salesperson, pitching my products or services to potential customers. The next, I might be the accountant, keeping track of expenses and making sure the numbers add up.

I have to be a problem solver, finding creative solutions to challenges that arise. When something goes wrong, I can’t just give up and walk away. Instead, I roll up my sleeves and figure out how to fix things. Failure is not an option, and perseverance is key.

Along with problem-solving, I also have to be a team leader. Building and managing a team isn’t always easy, but it’s essential for success. I have to motivate and inspire my employees, ensuring that everyone is working together towards our common goals. It’s like conducting an orchestra, making sure all the musicians are playing in harmony.

As a business owner, I wear many hats and take on various responsibilities. Some days, I may be overwhelmed by the sheer amount of work that needs to be done. But you know what? It’s all worth it. Being an entrepreneur is about seizing opportunities, following your passion, and creating something amazing.

So, if you’re thinking about becoming an entrepreneur yourself, remember this: it’s an exciting journey filled with challenges and rewards. You’ll have to wear many hats and take on various roles, but in the end, you’ll have the satisfaction of knowing that you took the reins of your destiny and created something truly special.

I’m thinking of becoming an entrepreneur and starting a small business, but my current job is so boring that I don’t want to get stuck in another uninteresting career. Can you tell me what an entrepreneur business owner does all day?

– Susie M. from Anchorage

What a great question, Susie! We hear this a lot.

The simple answer is that small business owners and entrepreneurs do whatever it takes to make their businesses successful. This could mean anything from taking out the trash and picking up mail at the post office to making sales calls and adjusting their marketing strategies.

It really depends on the type of business and how you, as the owner, choose to spend your time.

Each day, an entrepreneur’s tasks can vary depending on the industry and type of business they are in. In the United States alone, there are around 30 million small businesses, so it’s no surprise that their daily activities can greatly differ.

What is an Entrepreneur Responsible for? Key Duties and Responsibilities

1. Staffing and Management: One of the main responsibilities of an entrepreneur is to handle the hiring, training, and overall management of their team.
2. Financial: Entrepreneurs are responsible for managing the financial aspects of their business, such as budgeting, accounting, and ensuring profitability.
3. Planning and Strategy: Developing a solid business plan and implementing effective strategies to achieve long-term goals is another crucial duty of an entrepreneur.
4. Daily Operations: Entrepreneurs need to oversee and coordinate the day-to-day operations of their business, ensuring everything runs smoothly.
5. Sales and Marketing: Generating sales and promoting their products or services through various marketing strategies is a key aspect of an entrepreneur’s role.
6. Customer Service: Providing excellent customer service and maintaining positive relationships with clients is essential for the success of any business.

If this seems like a broad range of responsibilities, that’s because it is.

I’m the boss of my business. It’s like being the captain of a ship. It’s my job to keep everything running smoothly. That’s why they say small business owners wear many hats. I do whatever needs to be done – no job is too big or too small when it’s your business. And I do it with a smile, says Anita Campbell, the founder and CEO of our company.

Let’s take a closer look at the different things a small business owner does in each of the six areas.

Later on, I’ll give you some examples of what entrepreneurs do every day in three different businesses.

1. Staffing and Management

As a small business owner, I have a crucial task: putting together an outstanding team to run my business. This means finding and hiring new employees, as well as training and developing the ones I already have.

Writing clear job descriptions, providing feedback and performance reviews, and rewarding my employees with fair pay, benefits, and recognition are all part of my responsibility as a small business owner.

Our CEO emphasizes that as a business grows, the pressure on the owner increases. I have to adapt my role. When I first started my business, I did everything myself. But I soon realized that I couldn’t sustain that workload if I wanted my business to thrive. That’s why it’s important for smart entrepreneurs like me to hire and develop managers as soon as finances allow. Delegating tasks is a wise move, states Anita Campbell.

2. Financial

As a small business owner, I have the important task of taking care of the financial health of my company. It is my responsibility to create a sustainable business plan that will allow the company to make money. I must establish budgets and sales forecasts, and ensure that the company meets them. I am also in charge of invoicing customers, collecting overdue accounts, keeping the accounting system up to date, and reconciling bank statements.

Above all, I ensure that all expenses are in line and can be paid.

Our CEO, Anita, always emphasizes the importance of making payroll each month. In fact, she jokingly says that she should put Chief Payment Officer on her business cards. That’s how she sees her main role. You have to ensure there is enough money to pay everyone on time – employees, vendors, service providers, tax authorities, creditors, and yourself.

If the money starts to run low, I might have to find a way to get some extra cash, like getting a loan or having a line of credit to help with temporary money problems.

• Keeping an Eye on Finances: As a small business owner, I always make sure to check on how much money is coming in and going out to make sure everything is on track with my business goals.
• Creating a Successful Business Model: One of my main responsibilities is to come up with a business plan that will help my business grow and make a profit.
• Making a Budget: I know how important it is to have a budget and stick to it. This helps me keep my business financially stable.
• Predicting Sales: By thinking about how much I might sell in the future, I can make smart choices about things like how much inventory to have and how many people to hire.
• Invoicing Collections: I handle the process of billing our customers directly, making sure that they receive their invoices promptly. Additionally, I am responsible for collecting payments from overdue accounts to ensure that our finances stay healthy.
• Accounting Management: I meticulously update our accounting systems and reconcile our bank statements to ensure that our financial records are accurate and transparent.
• Expense Management: It is vital for me to keep a close eye on our expenses and implement strategies to control them effectively. This helps us maintain profitability and stay on track.
• Payroll: As the Chief Payment Officer, I guarantee that everyone who is part of our team, from employees to vendors, receives their payments on time. It is crucial to honor our commitments to them.
• Credit Loans: If we ever face a cash flow crunch, I may explore external financing options to ensure the smooth operation of our business. This can help us overcome temporary financial difficulties.

3. Planning and Strategy

As a small business owner, it’s my responsibility to set a strategy and create a business plan. I need to establish the vision and mission for my business. I should ask myself, ‘What do I want my business to be known for?’ Our CEO Anita says. If I can’t answer that question, my business will have no direction and may lack uniqueness.

I also need to communicate my vision and mission to my employees, customers, and the world. They need to understand what my business stands for.

As part of my planning and strategy, I need to keep an eye on marketplace trends, competitors, and changing customer preferences. After all, as a good entrepreneur, I know I must provide what the market wants and is willing to pay for.

4. Daily Operations: Making Things Run Smoothly

When I run my small business, I have to take care of all the day-to-day tasks. For example, let’s say I have an organic food business. I have a big role in growing and harvesting the food.

But it’s not just about getting the work done. I need to step back and see the bigger picture. That’s why I, as a smart entrepreneur, focus on making my daily operations more efficient and effective.

Every company, no matter how small, has areas where things could be done better. There are always processes that could be streamlined. As the owner, it’s my job to identify these areas and find solutions. This might involve automating tedious tasks that used to be done by hand, or using new technology to reduce costs. It might even mean getting help from outside experts for tasks that aren’t my main focus.

Hey, small business owners like you should totally connect with other business owners. It’s important to have a network of peers to learn from and share ideas with. Plus, you should definitely make time to go to industry events a few times a year. They’re a great way to find out about the latest and greatest technologies and ways of doing things. Learning new stuff is super important when you’re running a business, says Campbell.

5. Boosting Sales and Marketing

As a small business owner, I have many responsibilities. One of the most important ones is generating sales revenue and promoting our products or services to attract customers.

In the early years of running a business, I find myself actively participating in sales calls and even helping to close deals. I also take on the task of marketing, which involves creating campaigns, placing advertisements, sending emails, and utilizing social media platforms to reach potential customers.

Let me break down the key aspects of my role:

• Leading Sales: I take charge of our sales efforts by setting goals and strategies for the team to accomplish. It’s my responsibility to provide guidance and direction.
• Direct Sales Involvement: During the initial stages of the business, I often engage in direct sales activities. This includes making cold calls and meeting with customers face-to-face to present our products or services.
• Creating Marketing Campaigns: As the business owner, I’m the one who comes up with ideas for marketing campaigns. These campaigns aim to enhance brand visibility and ultimately drive sales.

6. Customer Service

I can help you with several important aspects of customer service. Here is what I can do:

• Email Marketing: I create interesting emails that will grab the attention of both our current customers and potential ones.
• Social Media Engagement: I use popular social media platforms like Facebook, Twitter, and Instagram to connect with our audience and let them know about our products or services.
• Monitoring Analysis: I keep track of how well our sales and marketing efforts are doing. By analyzing this data, I can find areas where we can improve and make the most of successful strategies.

As a small business owner, I have the important responsibility of ensuring that my customers have a great experience. It all starts with making sure that my company delivers high-quality products and services. But it doesn’t stop there – I want the entire experience to go above and beyond, truly delighting my customers.

When my business was just starting out, I would personally answer the phone and handle live chat conversations to solve any issues my customers faced. It was important for me to be directly involved in solving problems. However, as my business grew, I realized the need to create a dedicated customer service team and empower them to address customer concerns.

Nowadays, customer support relies heavily on technology. It’s crucial to have a well-integrated system that avoids data silos and makes customers feel like we truly know them. To achieve this, I use a CRM system, help desk software, live chat services, a sophisticated phone system, and automated emails. These tools help me provide personalized and efficient support, making my customers feel valued.

When it comes to owning a small business, building a positive reputation is key. This reputation is reflected in various ways, such as renewal rates, repeat purchases, net promoter scores, and online reviews and testimonials.

Summary of Duties and Responsibilities for Small Business Owners

Examples of What Entrepreneurs Do

Let’s take a look at a typical day in the lives of three different entrepreneurs to see how their roles are similar, yet different.

The Owner of a Restaurant

When I own a restaurant, I have to go to the market to buy the food that I need for my dishes. Sometimes, I also have to prepare the food myself because I am the head chef as well. As customers come in, I personally greet them at the door and seat them at their tables.

Aside from these tasks, I also have other responsibilities. I interview people who want to work at my restaurant and write job postings when there are open positions. It is essential for me to train my staff and handle the cash register when customers pay.

Later in the day, I have meetings with individuals from a sign company to discuss a new building sign, or with a landscaping service to talk about planting flowers in front of the restaurant. I also take care of the accounting records and ensure that the bank account is balanced.

About Me: Owner of a Web Publishing Business

If you own a Web publishing business, like a site that has ads, you might write articles or create content for your site. You keep up with what’s popular and what other publishers are doing by visiting other sites and social media.

You also manage your social media accounts and make sure the ads on your site are working well. If there are any issues, you troubleshoot them and try new things to make improvements. You interact with your writers and other staff, giving feedback on what they write or suggesting new features for your site.

As a Web publishing entrepreneur, you also look at the traffic and referrals to your site. This helps you get ideas on how to make your site better. And of course, you handle the finances and make sure everyone gets paid.

The Owner of a Plumbing Business

Being a plumber means I might need to drive to the parts store to get a piece if I need it right away. I’ll stop for gas and grab a quick sandwich for lunch too.

Once I finish a job, I write it down on an invoice, either on a piece of paper or on my phone or tablet. Then I’ll call my next appointment to let them know I’m on my way, and I’ll check the directions to get there.

If I want to grow my plumbing business, I might hire other plumbers to help. I’ll spend some time training them and talking to them. I’ll also talk to someone in the office who handles things like online reviews, marketing, scheduling service calls, and other office tasks throughout the day.

The Challenges and Rewards of Running Your Own Business

When you set off on a journey to become an entrepreneur, you encounter both difficulties and rewards that are unique to this path. The challenges can be tough, especially in the beginning stages of your business, when you have to put in long hours. It may seem overwhelming to have the responsibility of making important decisions and taking financial risks. And let’s not forget the constant need to come up with new ideas and adapt to the ever-changing world of business. It can be stressful, but also incredibly exciting!

But despite these challenges, being an entrepreneur brings with it some amazing rewards that make it all worthwhile. One of the most wonderful things about being your own boss is the freedom and autonomy it gives you. You get to make all the decisions and shape your business according to your own vision.

Being a Small Business Owner: Balancing Work and Vision

So, I wanted to talk to you about what it’s like being a small business owner. It’s not just about doing the work, but also about working on the big picture.

Let me share a piece of advice from our awesome CEO, Anita. She says, Hey, fellow entrepreneurs! Did you know that you have the power to choose what you do every day? Yup, it’s true! If you hate dealing with paperwork but love meeting customers, guess what? You can structure your business so you spend more time with customers while someone else handles all that paperwork stuff. Sure, it might take some planning and time to make it happen, but hey, you gotta keep working towards your dream workday. Life is too short to do anything you don’t love, right?