Entrepreneur vs Investor

An entrepreneur creates new business forms and opportunities. They solve problems. They are typical change agents in society. Investors on the other hand provide the capital required to start or grow businesses. Anyone can become an entrepreneur or investor because we are all blessed with the creative spirit and the potential to be fruitful. 

We can also contrast the entrepreneur and investor with a business manager. A business manager runs the enterprise which has been started by the entrepreneur and financed by the investor. Now, it is possible to be all three things. The famed Elon Musk is an entrepreneur, investor, and business manager. This combination of skills is rather rare and the people who have it tend to become very rich.

It is possible to become very wealthy by pursuing any of the three paths. You can create new opportunities out of thin air as an entrepreneur. This path is perhaps the hardest but most rewarding route to riches. Entrepreneurs bring new goods and services to humanity and are responsible for propelling civilization forward. However, they endure so much pain and stress in birthing new life forms. You can spark your creative juices by pursuing your interests and trying out many things.

You can also manage businesses for a living and earn a lot of cash. You will command high pay if you take on more difficult assignments within an organization. As a business manager, you will be highly valued if you learn to think like an entrepreneur and investor. An entrepreneur creates new things and solves problems. This is a highly valued skill for any business leader. On the other hand, an investor allocates scarce resources toward the most promising projects. This is an equally valued skill for any business manager. You can become a good business manager through the right education, training, and experience.

Finally, you can leverage capital towards promising ventures and make a lot of money as an investor. You can use your own savings, but, you can also leverage other people’s money toward investments. For example, you can convince your friends to pool capital and you invest it on their behalf. Investing is both an art and a science. You can get better at it through deliberate practice and study.

There are several paths available to all of us to pursue wealth. The trick is developing enough self-awareness to pursue the path which is most agreeable to your temperament, talents, skills, knowledge, and experience.