What is the E-Myth

December 2, 2011

The E-Myth is a myth in the country that people start businesses because they are entrepreneurs.  That is, they start businesses to take on risk in order to make capital.  According to Michael Gerber, the real reason people start businesses is to get rid of their boss.  Most people who start businesses are currently in a technical role.  “Any idiot can run a business,” they think, it’s the technical work that needs to be done.  So for those type of people, they start a business in order to not have a boss.

People who start a business have three distinct personalities:  the entrepreneur, the manager and the technician.

The Entrepreneur is the dreamer, always thinking ahead, pushing the limits and leaving destruction in his path.

The Manager is the organizer, trailing behind the entrepreneur, struggling to keep up, organizing things in the entrepreneur’s wake.

The Technician is the doer, loves getting things done, if you want it done right, you have to do it yourself.  The technician thinks of the entrepreneur as simply creating more work for him; and, thinks of the manager as the person holding him back from doing actual work.

If you put the three together, you end up with an incredibly capable individual.  However, most people who start businesses are only 10% entrepreneur, 20% manager and 70% technician.  This leads to the wrong person being at the helm – the technician is in charge.

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