by Maria Sariego
No one is more surprised than I am that I became an entrepreneur. In fact, I’ve been known to declare that I would never go into my own business. I had good reasons. I was married to an entrepreneur for 10 years and worked in small companies before finding my way into a large corporation. I was all-too familiar with the challenges. But, like a lot of other people these days it seems, I got the bug.
It happened four years ago, right after going through my second spinoff. Why not spin myself off, I thought? I was making a lot of money at the time, and as a single parent, I couldn’t ignore my financial responsibilities. But I also wanted to have more control over my destiny after years of being tossed around in various restructurings. I wanted to set my own hours. I wanted freedom. I wanted to do work that meant something, that changed lives. Okay … I wanted a window.
Apparently, I’m not the only one who values a high-quality life more than a steady paycheck. There are at least 16 million of us, by some estimates, and the number’s growing every day. There’s even a name for this ‘new’ breed of business owner: Lifestyle entrepreneur, or lifestylepreneur for short.
A lifestylepreneur is someone who goes into business with lifestyle, rather than money, as their primary aim. Money is part of the equation, of course; these are not financially independent people pursuing hobbies. But first and foremost are things such as flexibility to care for children or older family members, a desire to live in a particular place, or the longing to turn a passion into a livelihood.
The fact that these aren’t the kinds of high-growth ventures likely to attract investor money means they haven’t been the focus of a lot of studies. But there is growing evidence to suggest that this is, as author Mark Henricks states, ‘the new business style for the new millennium:’
Toronto-based research and consulting firm Warrillow & Co.found that only 10 percent of small-business owners are primarily motivated by achievement and sales growth. Independence and the desire to work in a particular trade motivate the other 90 percent.
A 1999 Lou Harris poll cited by Daniel Pink, author of Free Agent Nation: The Future of Working for Yourself, indicated that independence, setting their own priorities, and balancing work and family were all valued by entrepreneurs above making more money as reasons for going into business.
Many joining the lifestylepreneur ranks are women and Baby Boomers:
The Center for Women’s Business Research, a nonprofit research group in Washington, D.C., says the percentage of U.S. companies in which women own a 50 percent or greater stake rose from 44 percent in 1997 to 48 percent in 2004. Women start 424 enterprises every day, more than twice as many as men do. And the top reasons they cite for doing so is the desire to have more control over their own schedule and hours (46 percent), followed by frustration with the ‘glass ceiling’ at a big company (23 percent).
A study published this spring by the American Association for Retired People (AARP) found that among workers 50 and older, 5.6 million workers, or 16.4 percent, are self-employed, versus just 10.2 percent of the overall workforce. And, about one in three of those 50+ workers made the transition to self-employment after age 50.
Why now?
Why not now? A long list of factors is fueling the trend:
Downsizing and restructuring, combined with a weak economy in which laid-off workers can’t find new jobs and the costs of hiring labor and leasing space are lower, motivates more people to take a chance on launching a business venture.
Recent corporate ethics scandals have eroded employee loyalty and trust in their company, industry, or big business in general.
People are living longer, and those who might traditionally be thinking about retirement want to stay active, or need to work if their retirement savings took a hit in recent years, but don’t want a full-time or high-stress career.
Baby Boomers are in middle age, a time when the call of forgotten dreams and the desire to leave a legacy become stronger. Many have also become disillusioned with the pursuit of material wealth.
Advances in technology have lowered the cost of starting up a business, especially a home-based venture, and increased efficiency and productivity.
Does all this mean that becoming a lifestylepreneur is the quick path to an easy life? Not really. Some lifestylepreneurs do make more money than they ever did when they had a boss, and some do have more free time, but many lifestylepreneurs report working long hours or making less money than in their former careers (or both). So, there are still plenty of challenges to make the adventure exciting and precarious.
They also report feeling more satisfied, however, because they can call their own shots, build something of their own, work in their pajamas, attend their kids’ softball games, or shop in the middle of the week while the masses battle over the good bananas on the weekends. In other words, they get to live and work their way. And, many will tell you, becoming your own boss is a growth opportunity like no other.
I can vouch for all of that. Long hours, less money (at least for a while), excitement, frustration, pride, pajamas, and plenty of learning. Even though I spent six years earning my MBA at night while working in corporate, these days I feel that the second ‘MBA’ I’ve earned by being in my own business these four years has been far more worthwhile— not any cheaper and perhaps even more expensive—but oh, so valuable. I wouldn’t trade it for my old paycheck. Well, at least not today. Ask me tomorrow. I’m on my way out for a walk. It’s a beautiful day. I can tell. I have a window now.
Copyright 2004 by Maria Sariego.
Maria Sariego is a self-employment coach and founder of Lifestylepreneur, a company devoted to helping people create thriving businesses that support their life’s priorities. Her clients include solopreneurs, creatives, and home-based businesses. She is also in the process of launching her second venture, Believe Street, an online retailer of unique cards, journals, jewelry and gifts for inspired living.
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