Do you have a business or a hobby?

It may not be what you want to hear but it's the truth:

There is a difference between a business and a hobby.

Which do you have?

One of my favorite reads from the past year was "The Personal MBA" by Josh Kaufman. In the book, the author lays out his 5-step criteria.

He says a business is a repeatable process that:

  1. Creates and delivers something of value

  2. That other people want or need

  3. At a price they're willing to pay

  4. In a way that satisfies the customer's needs and expectations

  5. So that the business brings in enough profit to make it worthwhile to continue operation

I've found this criteria helpful as I've been working on my own ventures, as well as providing fractional support to other business owners.

Going through the list and answering honestly helps me understand where more focus is needed, or provides the difficult confirmation that perhaps we are only dealing with a hobby after all.

PRO TIP: It seems #2 and #5 are usually the hangup spots. 💡

❓ Which part of this formula do you need to focus on the most?

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