Buckle up for a crash course in solopreneurship that will empower you to enter the conversation about business ownership… or maybe even take the plunge.

We’ve interviewed over 400 entrepreneurs to understand the secrets to their success. Many entrepreneurs start as solopreneurs and then later decide to hire employees, but many also choose to stay a solopreneur because they enjoy the freedom and self-reliance.

We’re going to help you understand the solopreneur business model. We’ll explore the pros and cons of becoming a solopreneur, the differences between solopreneurs and other small businesses, and how to become a successful solopreneur.

Keep reading or click any of the links below to jump to that section:

What is a solopreneur?

A solopreneur is a small business owner who runs a business without employees or a business partner. In other words, solopreneurs personally handle all the day-to-day tasks to run their new business.

Kevin Espiritu, seen above, started Epic Gardening as a solopreneur. He’s since grown his company into an international gardening education and products company that brings in $7.3M per year.

Many people start as solo business owners and then hire employees. Other entrepreneurs start a small business with the intent of being the sole employee no matter how big the business grows.

Solopreneur Case Study

James Hartman started beekeeping because he was suffering from PTSD and had heard that beekeeping helps soothe people. The first year, he only made $1,000. In his second year, he made $10,000.

This year, he made $250K in the first six months.

He warned people who are working a full-time job:

During the first couple years, it was just him, but he brought on employees as the business became more profitable. He warned:

Check out our interview with James below:

Pros and Cons of a Solopreneur Business Model

Solopreneurs have numerous perks and downsides they face as their own bosses and only employees. Consider some of the reasons you might like—and dislike—being a solopreneur.

Perks

Some of the perks of being a solopreneur include:

• You are the sole decision-maker.
• You can run your business as a side job.
• Many solopreneurs don’t need a separate physical location for their work.
• There’s lower financial risk.
• You can tap into high earnings, especially if you run a highly automated business.
• You set your own hours.
• There’s the potential to make money with passive income.

Downsides of Being a Sole Business Owner

Even as you enjoy those benefits of solopreneurship, you might experience some of these downsides, too:

• Solo business owners face increased stress.
• You’ll have to find external parties or learn new skills to help with unfamiliar tasks.
• You won’t have anyone to interact with during slow times.
• There’s no one to cover when you need a day off.

Solopreneur vs. Entrepreneur

A solopreneur typically dreams of being their own boss. They want to control their time and do something where they excel.

However, many entrepreneurs also have loftier goals. An entrepreneur may have the desire to make an impact in the world—whether that’s solving a problem or growing a big business empire—and knows they’ll need a team to do it.

How to Be a Successful Solopreneur

It’s pretty easy to become a successful solopreneur. Consider the requirements below to learn how to become a solopreneur, step by step:

1. Choose a business idea.
2. Start your small business.
3. Get business tools.
4. Find clients.
5. Provide great customer service.

Let’s start by looking at solopreneur business ideas.

Step #1. Choose a Business Idea

Successful solopreneurs need to find a profitable industry in which they can run a business independently. Service business ideas like cleaning businesses and pressure washing companies prove to be profitable business ventures for a self-led business.

A solopreneur might choose to work as a freelance graphic designer, content creator, eCommerce business owner, freelance writer, web designer, or social media manager. Check out other ways to generate income online.

Step #2. Start Your Own Business

You can operate as a sole proprietor, but be aware that you’ll be exposed to personal liability if, in the course of doing business, something happens that hurts someone or damages property. Even as a solopreneur, you should strongly consider establishing an LLC to protect your personal assets. Learn how to register a business.

You’ll also need an employer identification number (EIN) from the IRS. Depending on your industry, you might need a business license, too. You’ll find tax season easier if you get a business bank account.

Step #3. Get Business Tools

You’ll need business tools, especially as a solopreneur. You’ll want to have any tools of the trade you are in because your single business focus should be to attract clients and provide stellar service.

You’ll want customer relationship management software and social media management services to help you keep track of every interaction in one place. These two tools will help you generate income, use automation tools, and keep your brand identity consistent across all major platforms.

Step #4. Find Clients

As a solopreneur, you’ll need to create market demand for your products or services. Marketing can’t be your single focus, though.

You’ll want to have a variety of ways to get your information out to other businesses and customers. This may include a website, social media profiles, Google Business account, and maybe even your own podcast.

Many successful businesses use Google local ads to easily ramp up and down customer leads based on their current workload. A solopreneur should consider these tools as well.

Don’t expect marketing to work immediately, though. Many seasoned entrepreneurs say their companies’ marketing campaigns take 90 days to truly work, and a solopreneur should expect the same.

Pro Tip: Check out our resources on how to create a marketing budget and essential marketing budget statistics for additional inspiration and insights.

Step #5. Provide Great Customer Service

You’ll have minimal workplace requirements because you won’t have other team members you pay. That means your singular focus is providing excellent services or physical products for your clients.

As a solopreneur, you have the ability to make sure you meet your business goals without relying on other people. Make sure customers realize the business value you offer is a conscientious business owner who cares about providing the best results the first time.

Other business owners employ teams and have to delegate responsibilities. You won’t have anyone to rely on but yourself.

Automate tasks, focus on your customers, and ask them for reviews to help you become a successful business owner.

Solopreneur FAQ

Let’s answer some frequently asked questions about solopreneurship and working for yourself.

How many employees does a solopreneur have?

Solopreneurs operate their businesses alone. Depending on the business formation, a solo entrepreneur will sometimes be considered an employee. A sole proprietor isn’t considered an employee because they’re the same legal entity as the business.

Solopreneurs running an LLC with pass-through income aren’t considered employees. They do count as an employee if they file as an S corporation because they have to pay themselves a salary and deduct payroll taxes. A solopreneur operating a C corporation will also be considered an employee.

What is QuickBooks Solopreneur?

QuickBooks Solopreneur is accounting software that’s specifically built for a one-person business.

For $20 per month, you get a business bank account, payment processing, invoicing, and other perks. Bookkeeping features include mileage tracking, sales tracking, receipt capture, and reports.

How to brand yourself as a solopreneur

Becoming a successful solopreneur means you’ll need to develop a reputation for yourself, your business, or both. Many solopreneurs focus entirely on individual branding because it’s more personal than a company brand.

When you start a one-person business, you should consider your long-term goals to decide if you want to build a personal brand or a brand for a separate legal entity. It’s easier to focus on a personal brand as long as you don’t want to pass the company on to your kids or hire employees and subcontractors.

As a one-person business, you should define the values and the reputation you want to develop. Then establish the right colors, fonts, and communication style to create the personal brand you have in mind.

Don’t forget to spend time discussing your values with potential customers on every marketing channel you use.

How to stop being a solopreneur

At some point, you may decide you no longer want to be a single-person business. The common reasons that an entrepreneur would want to quit being a solopreneur include retirement, taking on a cofounder, or hiring employees.

You’ll want to establish the right path to exit a solopreneurship that looks something like the process below:

1. Define why you’re changing how the business runs and what goals you’re trying to achieve.
2. Create a business plan to help you transition from the current business model.
3. Terminate or change the business structure.
4. Secure funding to pursue the new goals.
5. Implement new policies, software, and equipment to onboard new people.
6. Train your employees.
7. Spend more time on high-level decision-making and less on working in the business.

As you evolve as an entrepreneur, you’ll need to focus on continuous learning. Your ability to make informed decisions will change as you transition from self-employed to a couple of employees and then again to a larger organization.

Certain tasks will have to be delegated so that you can maintain your work-life balance and have some free time. Not all entrepreneurs are comfortable hiring, which means you may need to seek guidance from other professionals who own businesses. These communities will help you learn how like-minded people handled the adjustment.

Here’s what Kevin told us about delegating:

Become Your Own Boss: Get Busy as a Solopreneur

Whether you want to go into web development, start a marketing agency, become an event planner, or start a passive income business, becoming a solopreneur is within your grasp. There’s no one holding you back from becoming a solopreneur.

There are, of course, key differences between solo entrepreneurs and those who found, own, and lead companies with employees.

On the upside, you won’t have to deal with more complex workplace requirements. You can get an LLC for the legal protection of your personal assets, open a business bank account, and start working toward a more flexible lifestyle on your terms—no employees or business partners required.

Do you know other solopreneurs? Do they inspire you? What do you see these unique, go-it-alone entrepreneurs focus on?

Let us know in the comments below.