The other day I read an interesting book called
Entrepreneurial DNA, by Joe Abraham, the founder of BOSI Global,
an operating partner to venture-backed and owner-operated companies.
The book is based on Joe’s study of over 1,000 entrepreneurs. The
research confirmed the discovery that all entrepreneurs are not all
wired the same way. The book suggests entrepreneurs fall into four
distinct types of entrepreneurial DNA’s that leverage unique strengths,
weaknesses and tendencies typical in each specific type of entrepreneur:
1. The Builder: You have a drive to build highly
scalable businesses very fast. When this DNA is high in an individual,
they break past $5 million in revenue within two to four years and keep
going to up to $100 million. That's because these individuals measure
success through a very unique lens: infrastructure. It drives the
decisions they make and the strategy they build and deploy. They aren't
satisfied with a certain amount of personal income or goodwill toward
man. They are Pied Piper-like individuals who are master recruiters of
talent, investors and customers. Builder DNA activates certain behaviors
like a controlling temperament, leading to a Dr. Jekyll and Mr. Hyde
like demeanor in the office. Individuals with high Builder DNA tend to
struggle most with personal relationships and typically have a revolving door of talent in their companies.
2. The Opportunist: Picture Sir Richard Branson
and you have a pretty good idea of what Opportunist DNA is all about.
Individuals wired with this DNA are highly optimistic master promoters.
They enjoy marketing and selling. They are wired to sniff out well-timed
money making opportunities, jump in at the right time, ride the wave of
growth up and (hopefully) jump out at the peak. Opportunist DNA
measures success based on the amount of money they make (or will make)
when they aren't working. So they are drawn to business opportunities
where leverage can be used to create residual and renewal income. This
behavioral preset in entrepreneurs makes them impulsive decision makers,
especially when it comes to money-making opportunities. This trait can
serve them very well or be the source of their demise.
3. The Specialist: This DNA activates in the experts
of our world. No sooner does an individual go through years of
schooling, apprenticeship or on-the-job training, does this DNA
activate, driving the corresponding behaviors. Specialist DNA drives one
to be very analytical, relatively risk-averse and anti-selling.
Specialists generate most of their new business from referrals and
networking. They measure success based on their personal income. Their
businesses tend to grow fairly well in the startup and early growth
phase, but as soon as their personal income hits preset targets, their
internal thermostat kicks in and they go into customer service mode.
Research found that most Specialist-owned businesses plateau in revenues
well below $5 million. The ones that get past this level take
significantly longer to get there than Builder DNA companies -- often
decades.
4. The Innovator: Picture Mark Zuckerberg in the movie
The Social Network
and you'll see Innovator DNA at work. Like most Innovators, he was
doing something he loved, when a business opportunity popped up. The
breakthrough discovery typically drives this entrepreneur in the "lab"
of their business -- where they want to invent, design and tinker. They
would much rather be in the lab of their business than at the cash
register or in the business office. They find operating a business
draining. They measure success based on the impact their product or
service is having on mankind. "It's not about the money," you'll hear
them say. "I'd do this for free for the rest of my life if I could."
Individuals with high Innovator DNA control most of the great
intellectual property of our time. Unfortunately, they hide in dungeons
and find it hard to engage in business discussions.
For centuries the approach to entrepreneurship has been -- what
worked for one entrepreneur will work for every entrepreneur. But
research has proven that entrepreneurs are all different. Some of us are
Innovator-Builders. Others are Specialist-Opportunists.
Knowing your DNA and the DNA of those surrounding you is critical to
selecting the business, strategy and team best suited for you. Just
because it worked for Richard Branson (Opportunist-Builder) or Bill Gates (Specialist-Builder), doesn't mean it will work for you.
