This month, my public relations consulting business will celebrate its 12th anniversary! Now with a dozen years of entrepreneurship under my belt, I feel like I’ve finally gained insight, peace, and wisdom that can only come from racking up innumerable and immeasurable experiences. Most importantly, I’ve gained perspective. And this perspective has changed substantially over the years. When I first made the entrepreneurial leap in July 2011, I didn’t have a clear vision for what I wanted to create. All I knew is that I wanted to call my own shots, choose the type of work I wanted to do, set my own hours, and control my income. Even if this meant taking an initial pay cut and facing infinite uncertainty, I was willing to risk it for the possibility of the reward.
It’s common for new business owners to think the ultimate goal is to scale by taking on employees, moving into a physical office space, and formalizing the business in a variety of ways that result in added overhead expenses. In some instances, this is necessary depending on the business model. But there are many other business models where this doesn’t have to be the case. In fact, the goal may be to stay as lean, automated, and virtual as possible. And this is what best describes the business I set out to create, even if I didn’t know it from the start.
I’ve come to learn that this is typically called a “lifestyle business” or one where the business owner desires freedom in what work they take on, flexibility in when and how much they work, low overhead to maximize profit, and something that can be managed from virtually anywhere. This business model is simple, efficient, and can be highly profitable to support a pretty nice lifestyle (if I say so myself). Yet, when someone says “lifestyle business” often people think, “Oh, so it’s a hobby.”
Not at all. And here’s why lifestyle businesses should be given more credit and celebration as they are the future of true work-life collaboration (note I didn’t say balance, but that’s a topic for another day).
Defining a Lifestyle Business
A quick Google search will tell you that, “A lifestyle business is a business set up and run by its founders primarily with the aim of living or maintaining a certain lifestyle. It’s meant to be a business which adjusts to the lifestyle – so that the founder can live their life as they like.” And I’d say this definition nails it. I want to emphasize that the desired lifestyle can and should change from person to person. Some may desire a very simple, low-key life making just enough money to pay the bills and reap the reward of freedom and flexibility from a traditional 9-5 job. Others may desire a more ambitious lifestyle and thus the business is run at a higher level earning more income. Being a lifestyle business isn’t limited in its impact or income. In fact, the beauty is it’s the business owner who gets to envision (and constantly adjust) the lifestyle they wish to create.
Myths and Misconceptions
All of this might sound pretty good once explained. I agree! So then why are lifestyle businesses minimized to being treated like a hobby? There are a few myths and misconceptions to clear up. And if you want to understand how any particular lifestyle business works, the first question to ask is, “What lifestyle are you aiming to create?” The response given by the business owner should give you all the insight you need to understand the level at which the business is run.
Here is what a lifestyle business is not:
Limited in income or impact
Dependent upon employees
Short-term employment to “bridge a gap”
High-touch, high-need to maintain
These are common myths and misconceptions where the converse is true. With some upfront work and the right processes in place, a lifestyle business can be highly automated and run efficiently without needing more than a few hours a day or week of the business owner’s time. It can be run as a sole proprietorship without any employees, only contractors and outsourcing as needed. And it is absolutely a long-term, full-time source of employment that can be run well into “retirement” because of its ability to provide freedom and flexibility.
How to Create a Lifestyle Business
If all of this sounds like something you want to create for yourself, the good news is you can. A lifestyle business is highly accessible and becoming a more popular avenue for employment, especially with the rise of virtual work. The key is to always stay focused on the lifestyle you wish to create. Really visualize what you want a typical “day in the life” to look like. There are many business models out there, especially in the world of multi-level marketing or online reselling, that will convince you they can be a lifestyle business. And maybe some can. But rarely is this true entrepreneurship with the same freedom and flexibility that comes from creating something all your own. More often you’re hustling harder than ever to make someone else rich.
Instead, I recommend thinking about what you’re inherently talented to do. What skills can you offer the world that are helpful and valuable? Then build your business from this foundation. Selling your time as a service-based business is a great starting point, but only if you truly have value to offer. Always, always focus on value and impact. This will ensure you’re fulfilled by your work and proud of what you do.
Speaking from Experience
When I founded Bennis Public Relations, I did so well before the age of Instagram influencers forever changed the definition of bloggers and entrepreneurship. These terms are thrown around loosely and often get a bad rap. More time is spent on portraying the image of a certain lifestyle so that you buy into whatever it is they’re trying to sell. Instead, true lifestyle businesses fly below the radar. These are those “millionaires next door” that may not even have a social media presence. Because they don’t have to. They don’t need to talk about their lifestyle, because they’re already busy enjoying it! A great litmus test of creating a successful lifestyle business is to check in regularly on your day-to-day. Are you having fun? Are you fulfilled? Is this the lifestyle you set out to create? A lifestyle business at its finest is one where the business owner isn’t focused on hitting that next goal or inching closer to retirement. They’re fully satisfied with the here and now and already enjoying the life their business has afforded them. They don’t get stuck in the cycle of deferring happiness, because happiness can be achieved right now!
This is what I wish for all of you. However you can achieve this, go for it!
What do you believe to be true of lifestyle businesses? Do you have additional thoughts to add to this topic? Join in the conversation in the comments!
The Comm Entrepreneur 
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