Published: November 12, 2014

Ask many small-business owners why they risk job security and what may be their life savings to start a business, and the answer isn’t always money. After all, there are easier, more predictable roads to building a nest egg that include a steady paycheck and a matching 401(k) plan.

By their very nature, entrepreneurs have a different mindset than lifetime employees—a mindset that causes them to jump in headfirst. While each entrepreneur’s story is unique, a common thread is the desire to steer their own course and drive change themselves.

“I’m driven to change the things I can’t accept. Entrepreneurs take risks, because the alternative is unacceptable.”
— Melanie St. James, founder of Empowerment WORKS

St. James founded Empowerment WORKS, a global sustainability think tank that organizes biennial Global Summits to connect resource-poor but culturally rich communities around the world.

Early Interest in Entrepreneurship

Many entrepreneurs start young:

• Melanie St. James sold her father’s invention—an electrically heated ice-cream scooper—door-to-door in high school. Her passion for global change began after studying abroad in China and pursuing international development studies.
• Marcy Hogan credits her entrepreneurial spirit to her mother. Today, she wears many hats—musician, music teacher, fitness pro, and co-owner of Send Out Cards with her husband.

Desire to Control Their Destiny

Entrepreneurs value freedom and accountability:

• Hogan: “Having your own business gives you the ability to create the life you want… When your business flourishes, you have a real sense of accomplishment.”
• Matt Richter-Sand: Left a Fortune 500 job because he could “see the next 20 years” of his life and wanted more excitement and innovation.

Richter-Sand started building websites in high school and now teaches entrepreneurship at Loyola Marymount University. He also authored The Agile Startup based on research into successful entrepreneurs.

Willingness to Venture Into the Unknown

Risk and uncertainty are part of the process. Entrepreneurs must:

• Turn uncertainty into certainty by validating ideas and acquiring customers.
• Test assumptions and prove hypotheses to reduce risk.

Richter-Sand: “Entrepreneurs must be willing to venture into the unknown, to make leaps of faith and move forward without full information.”

Ability to Face Reality

Great entrepreneurs accept harsh truths:

• They recognize when their original idea isn’t working and pivot based on market feedback.
• They don’t let pride interfere with progress.

Example: PayPal’s original idea was transferring money via Palm Pilots—after negative feedback, they pivoted to web-based transfers, which led to massive success.

Sticking to Their Vision

Entrepreneurs face setbacks but stay committed to their goals. For instance, during the 2012 Summit, St. James lost the venue days before the event:

“I was strongly advised to cancel it, but I kept moving forward and ended up finding the perfect venue at the last minute.”

Despite challenges, successful entrepreneurs are resilient and stay true to their mission—driven by passion, purpose, and an unwavering belief in their vision.