The goal of a business is to do something that creates value but that is focused on a narrow niche whereas a freelancer can do various jobs within a certain role. This is the primary difference and a big lesson that needs to be learned when starting a business. The big goal of a business is to treat things like an assembly line, whereas a freelancer does variable work. To scale a business we need to perform a narrow set of work or creation of a product that provides value.

It is easy to create a job when starting a business where you do multiple tasks and can’t create repeatability, this is the range of the freelancer. It is perfectly alright if that is what you want to do. However, if you want to have a scalable business you need to do a narrow set of work that creates a high amount of value to the customer while also creating a profit margin.

When starting a business it is important then to consider the following. How can I reduce what I do to the essence

  • It is really easy to be a consultant and realize that you are starting to do all the things that entail it being a job.
  • A job is doing specific things for an organization that benefits that organization and its growth.
  • A business is basically picking one of three things 1) cost 2) focus 3) differentiation and sticking to one of those three things and killing everything else that is unrelated to those three things.
  • A consulting agency can easily fall in the trap of taking on roles of being a job.
    • It is best to however focus your energy on a niche and not do everything and keep things generic enough that it is easy to scale.
    • Do not work on making things repeatable.