Why Businesses Fail and What To Do About It | The E Myth Revisited Book Review + Insights

The book E Myth Revisited by Michael E. Gerber is a book about the entrepreneurial myth. It’s absolutely transformative (for me) in my thinking when it comes to running a business.

Entrepreneurial Seizure: What is it?

Entrepreneurial seizure is the reason most small business owners go into business. It’s when people who are working for someone else have this realization that they’re doing work for someone else and he or she is making all the money. These people think that they could do it themselves and get all of the money. They wouldn’t have to deal with working for a boss – they could have their own hours doing the same things.

So, these people who are really good at doing their job says I’m going to go do it for myself. That is entrepreneurial seizure, and it is why most small business owners go into business.

The Difference Between an Entrepreneur and a Business Owner

An entrepreneur has a vision – they see a gap that they need to fill in. They know how they’re going to do that and they can create something out of nothing. It’s less about what they’re doing right and more about the business and the art of creating AND brining their vision to fruition. While a business owner is more of a technician where they maximize their skill to earn a profit.

3 Key Roles in a Business

According to Michael E. Gerber, if you’re the owner of a small business, you need three people. And as the owner, you need to have a lens for each of these roles:

#1 The Entrepreneurial Entrepreneur

The entrepreneur is the visionary. They see things in a bigger scale. They see how they can find a way to impact people. The entrepreneurial entrepreneur has the big vision or the big goal that most businesses aim to stretch to.

#2 The Manager

The manager is the planner or the organizer. They’re predictable. The manager is the person that says, “Hey, right now, you need to be working on your standard operating procedures, not working on making that logo looks prettier, good, that’s not gonna pay the bill.” The manager is in charge of the books and the structure of how the how the business works such as leading and being sure you’ve got the right people on the bus and who’s on the team.

#3 The Technician

The technician is the person who does the actual work. The technician is showing up on stage or writing an article or a blog post. Most of us who are technicians – meaning having a passion and a skill for something, we’ll spend our most of our time there, if we’re able to. 

Prevent Your Business from Failing

The E Myth Revisited Book is a good read for aspiring entrepreneurs and small business owners. It provides a practical strategy for setting your business up for success.

As an entrepreneur or a business owner, you must educate yourself sufficiently so that as your business grows, the business foundation and structure can carry the additional weight of growth. So, never stop learning!