The Myth of the Entrepreneurial Millionaire

corporate job vs enterpreneurship - what is better

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Warning! Controversial Post!

Is Entrepreneurship Really Worth It?

It might surprise you, but being an entrepreneur often doesn’t pay off financially. We all know the big success stories: Mark Zuckerberg, and Michael Dell—those rare few who drop out of college, bootstrap their startups, and become billionaires before they hit 30. But these are outliers. The truth is, most startups fail. And for those that don’t, even if they become successful and provide the founder with a comfortable living, the financial rewards are often not as glamorous as you might think.

Consider this: a founder who toils for five years might build a thriving business, but the same person working for a corporation during that period would likely have earned more income, had fewer sleepless nights, and spent more time with family. In a MassChallene webinar, Marius Ursache, a serial entrepreneur himself, did the math and presented a slide with an example of a successful entrepreneur and their gain after 5 years compared to what he would make if he stayed in corporate. The math is clear: financially they would be better off staying in corporate. So, if your sole reason for becoming an entrepreneur is financial gain, you might be in for a rude awakening.

financials of enterpreneurship vs corporate job

So, why do people become entrepreneurs?

  • Control over your destiny: As an entrepreneur your success depends on you and not on corporate strategy. Many of my friend did well in corporate but still were laid off due to re-orgs, mergers and acquisitions. My brother left a cushy VP of Finance job to start his own CPA firm. It took years of hard work and sacrifice, but now he has two offices, 12 employees, and is thriving while his former colleagues faced layoffs.

  • More control of your time: As an entrepreneur, you are the master of your own destiny. You decide when and where you work. Of course, you’ll likely work more rather than less, but at least the choice is yours.

  • A sense of purpose: Entrepreneurship offers the chance to work on something meaningful—something that you believe in. Yes, you can find that in corporate roles, but entrepreneurship lets you choose your purpose and stick with it.

  • You love risk: Let’s be honest—starting a business is risky. The odds are stacked against you. But for some, that risk is part of the thrill, and the potential for great rewards is enticing.

  • Direct contact with your customers: In a corporate job, you might not always get to see the people who benefit from your work. Entrepreneurs, especially in early stages, get to build those relationships firsthand.

  • Passion for what you do: You love what you do, and you’re willing to make less money if that’s what it takes to make your dream a reality.

The Bottom Line

If maximizing your income is your primary goal, stick to a corporate job. You can find a purposeful position that will fulfill you and you’ll likely make more money over the long run. But if you crave control, and the chance to build something meaningful—something that is entirely your own—then entrepreneurship might be the right path for you. Just be prepared to trade financial comfort for a whole lot of uncertainty.

Who knows you may be one of those that end up with riches beyond your imagination.