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Entrepreneur vs. Business Owner — What's the Difference?

By Tayyaba Rehman — Published on September 24, 2023
An entrepreneur initiates, innovates, and assumes the risk of a business venture, while a business owner operates and maintains an established business. Both contribute to the economy, but their roles differ in creation and operation.
Entrepreneur vs. Business Owner — What's the Difference?

Difference Between Entrepreneur and Business Owner


Key Differences

An entrepreneur is often seen as a visionary, someone who brings new ideas, innovations, and business models to the market. They thrive on novelty and are willing to take risks to realize their innovative ideas. Entrepreneurs often disrupt existing markets or create entirely new ones through their ventures.
On the other hand, a business owner is an individual who owns and oversees the operations of an established business. They might not have founded the business or brought a novel idea to the market. Instead, they ensure the smooth running, profitability, and growth of their business entity.
Entrepreneurs often become business owners once their startups mature and stabilize. The initial phases of entrepreneurship involve developing a product or service, market testing, and acquiring initial customers. Once the business gains traction, the entrepreneur's role often shifts from innovation to operations, and they transition into a business owner's responsibilities.
Business owners may not necessarily possess the innovative spirit of entrepreneurs. Their primary goal is to maintain the business's sustainability, manage employees, handle finances, and cater to their existing customer base. Their focus is more on stability and growth rather than disruption or novelty.
To summarize, while both entrepreneurs and business owners play essential roles in the business ecosystem, entrepreneurs are typically associated with innovation and risk-taking, while business owners emphasize stability, operations, and growth.

Comparison Chart

Primary Role

Innovator and risk-taker
Operator and manager


Creating new business opportunities
Maintaining and growing existing business


Often assumes high risk
Focuses on mitigating risks

Origin of Business

Typically starts the business from scratch
May or may not have founded the business


Novelty, disruption, and market creation
Stability, profitability, and customer satisfaction

Compare with Definitions


Someone willing to take financial risks for potential profit.
The young entrepreneur dove into the competitive market, hoping for success.

Business Owner

The main decision-maker in a business establishment.
The business owner decided to expand to international markets.


An individual who innovates and introduces new products or services.
As an entrepreneur, she developed a solution previously unseen in the market.

Business Owner

An individual who possesses and oversees a business entity.
The business owner held a meeting to discuss annual profits.


A visionary who disrupts existing markets or creates new ones.
The entrepreneur's revolutionary app changed how people shopped online.

Business Owner

A person who benefits from the profits and bears the losses of a business.
The business owner felt the impact of the recent market changes.


A leader who sees opportunities where others see challenges.
The entrepreneur viewed the economic downturn as a chance to innovate.

Business Owner

A stakeholder who has a vested interest in the business's success.
The business owner regularly surveyed customers to improve services.


A person who initiates and runs a new business venture.
The entrepreneur risked his savings to start a tech company.

Business Owner

Someone responsible for the operation and growth of a business.
As a business owner, she implemented strategies to boost sales.


A person who organizes, operates, and assumes the risk for a business venture.


A person who organizes and operates a business venture and assumes much of the associated risk.


A person who organizes a risky activity of any kind and acts substantially in the manner of a business entrepreneur.


A person who strives for success and takes on risk by starting their own venture, service, etc.


One who takes the initiative to create a product or establish a business for profit; generally, whoever undertakes on his own account an enterprise in which others are employed and risks are taken.


Someone who organizes a business venture and assumes the risk for it

Common Curiosities

Can a business owner also be an innovator?

Yes, business owners can innovate within their businesses.

What's the main focus of an entrepreneur?

Entrepreneurs focus on innovation, disruption, and creating new market opportunities.

Do entrepreneurs always start businesses from scratch?

Most entrepreneurs start businesses from scratch, but some innovate within existing structures.

Do entrepreneurs always become business owners?

No, not always. Some entrepreneurs sell their ventures and move to new projects.

Is every business owner an entrepreneur?

No, not every business owner is an entrepreneur. Some might have purchased or inherited their businesses.

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Author Spotlight

Written by
Tayyaba Rehman
Tayyaba Rehman is a distinguished writer, currently serving as a primary contributor to As a researcher in semantics and etymology, Tayyaba's passion for the complexity of languages and their distinctions has found a perfect home on the platform. Tayyaba delves into the intricacies of language, distinguishing between commonly confused words and phrases, thereby providing clarity for readers worldwide.

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