What, Why, Ideas, Examples, and FAQ
Solopreneurship is taking the internet by storm.
And is it any surprise?
Solopreneurship promises the financial and lifestyle freedom of entrepreneurship, without the stress of managing employees.
And while becoming a solopreneur is certainly not easy, it is arguably the best time ever to consider pursuing solopreneurship.
Today, we’ll cover:
- What is solopreneurship?
- Why solopreneurship is on the rise
- Examples of successful solopreneurs
- How does one become a solopreneur?
- FAQ – Frequently asked questions for solopreneurs
Let’s dive in.
What is Solopreneurship?
Solopreneurs are entrepreneurs who run their businesses alone, with zero employees.
As the business grows, the solopreneur might involve contractors or part-time assistance, but hiring is generally a last resort.
Solopreneurship provides immense freedom, but comes with immense responsibility. The solopreneur is ultimately responsible for everything in the business – from marketing to operations to accounting to legal.
And while this may sound like a lot of work (spoiler: it is), software and AI have made this more possible than ever before in human history.
Key Takeaways 🔑
- The solopreneur lifestyle offers maximum independence, flexibility and autonomy.
- Solopreneurs have complete control over their businesses and their future.
- There is no “best” solopreneur idea, or business model – it’ll depend on your skills, interests, and market demand.
Why is Solopreneurship Becoming Popular?
You may have been hearing the term “solopreneurship” more and more in recent years.
There a few driving reasons for this:
Technology – Innovation is Accelerating
All technology in human history was created to save us time, money, or both. Personal computing, mobile phones and the internet are modern examples.
And while we have benefited from these technologies as consumers in our personal lives, the time savings of the workplace have largely benefited the employer, not the employee.
Case in point: Most people still work a full-time job for 40 hours a week, despite the time savings of technology.
Companies are benefiting from technology. Employees are left carrying the workload.
But this is changing.
With the advent of AI, more and more people are waking up to realize that they can be the ones benefiting from technological innovation.
Some choose to become freelancers and contractors, allowing them to free themselves from the 40 hour work week structure, or even take on multiple clients (i.e. employers) to multiply their income.
Others choose to become entrepreneurs to fully take control of their work life.
And of those entrepreneurs, more and more are choosing to become solopreneurs.
Culture – Values Shifting Toward Work-Life Balance
Millennials now make up the majority of the workforce.
Millennials also value work-life balance more than their older counterparts in Gen X and the Baby Boomers.
I suspect the data on Gen Z and Gen Alpha is only going to confirm this trend.
Young people value freedom and lifestyle much more than the standard metrics of career success.
Hustle culture is dying.
That doesn’t mean young people won’t hustle. Instead, the Millennial and Gen Z outliers who want extraordinary success will no longer be channelling their energy toward their employer.
They’ll be channelling that energy into their own business and personal brand.
Economy – Inflation Incentivizes Multiple Income Streams
The final reason for the surge in solopreneurship is a more worrying one.
The default career path is no longer as lucrative as it once was.
I remember when I was in high school, I dreamed of making a $100,000 salary. Six figures! $100k felt like so much money.
Now, ~50% of Americans who earn $100,000 a year are living paycheque-to-paycheque.
This is in large part due to inflation. As we’ve discussed in past issues, the value of the dollar slowly declines at an average of 2-3% per year.
This is by design.
More and more people are waking up to this, and opting for an alternative path where they can increase their earnings at a faster rate than inflation, while prioritizing work-life balance.
One of those paths is solopreneurship.
So we’ve discussed what solopreneurship is, and why it’s on the rise.
Perhaps you’re now interested in exploring what solopreneurship could look like for you.
Now, let’s discuss some examples of successful solopreneurs and how you can achieve similar success.
Profitable Solopreneur Business Ideas and Case Studies
Here are three categories of solopreneur ideas that can help you get started:
Consultancy and Coaching
This is one of the easiest places to start as a solopreneur, and it’s a path we highly recommend considering.
If you have expertise in a particular area, you can start a solopreneur business as a consultant or coach.
Many solopreneurs make the leap from full-time employment into entrepreneurship by becoming an independent contractor or consultant for their full-time employer.
This gives them the flexibility to begin pursuing and serving additional clients.
To get started with this type of business, you’ll need to identify your niche and build up your credibility and reputation.
You can do this by offering your services for free or at a discounted rate to start, and then gradually increasing your rates as you gain more experience, testimonials and success.
Digital Products and Services
Another very popular solopreneur business ideas is to sell digital products and services.
This includes things like ebooks, online courses, design templates, paid communities and more.
Digital Products are very attractive because they can be sold at scale without requiring more time commitment.
As Jack Butcher puts it, Build Once, Sell Twice. Jack Butcher is also a great example of a solopreneur who started by selling consulting services, and then pivoted to digital products to scale his business.
To get started with this type of business, you may want to start by selling a service first to validate demand and to hone your product.
YouTuber and Content Creator
Content Creators aren’t often thought of as solopreneurs, but they are a great example of solopreneurship.
YouTubers, Instagram Influencers, and TikTokers are all solopreneurs in their own right.
This path can include things like blogging, podcasting, YouTube videos, books, and more.
To start down this path, you’ll need to be consistent with your content creation and focus on building a loyal audience.
Once an audience is built, Content Creators generally begin monetizing through brand sponsorships.
Even if you’re not interested in becoming an influence or YouTuber, building an audience is a vital skill and a huge asset for any sort of solopreneur business.
Software as a Service (AKA Indie Hacking)
Solopreneurs who built and sell software are commonly referred to as Indie Hackers.
In fact, the Indie Hacker community has likely been around longer than the concept of solopreneurship.
Indie Hackers build software to solve a particular problem, then sell it to customers who have that problem in their life or in their business.
This path requires a bit more technical expertise, but with the advent of GenAI tools like ChatGPT, it is becoming more and more accessible. And as mentioned in our latest piece, a higher barrier to entry means less competition, and vice versa.
The website and community IndieHackers is a great place for inspiration if you’re interested in this path.
How to Become a Solopreneur
As discussed in the ideas section, there are an infinite number of unique ways to becoming a solopreneur.
Although they are all unique, they all follow a similar structure:
- Learn a valuable skill
- Sell your skills as a service
- Productize your service into a product
- Scale your business by building an audience
Step 1 is the only step that needs to come first. Steps 2 through 4 aren’t even all necessary. Steps 2 through 4 also don’t have to be done in order and/or they can be pursued in parallel.
But that’s it. Learn a skill, and then sell it.
Frequently Asked Questions
What are some successful business models for solopreneurs?
As mentioned above, some of the most successful solopreneur business models include:
- Consulting services
- Digital products
- Content creation (brand sponsorships)
- Software-as-a-Service (SaaS / Indie Hacking)
Which tech stack should I use as a solopreneur?
Technology is one of the main reasons that solopreneurship is on the rise, and I expect this trend to continue. This includes:
- Social media platforms (YouTube, TikTok, X, Instagram, etc.)
- Newsletter platforms (ConvertKit, Beehiiv, Substack, etc.)
- Online course platforms (Teachable, Skool, etc.)
- All-in-One platforms (Kajabi, Kartra, etc.)
That said, a common mistake made by aspiring solopreneurs is to get stuck inaction due to tech stack decisions. The tech stack you use is not nearly as important as the quality of your product and your audience.
What are some profitable one-person business / solopreneur ideas and niches?
The world is your oyster.
If there is demand for a particular skill or content out there, then it can become a profitable solopreneur business.
All you need to do is find a way to build an audience from that demand, and then monetize it. It isn’t easy, but it is simple.
Pro Tip: Many solopreneurs use online communities like Reddit or Facebook Groups to find niches that have a large dedicated community, that no one has created products or services for yet.
How do successful solopreneurs differentiate?
Perhaps the most exciting part of being a solopreneur is that you are the differentiation.
As David Perell puts it, you are a monopoly of one.
As you create content, build products, speak to customers, and iterate on your business, your personal monopoly will become more and more clear. Do not fret if you are unsure of your differentiation at the start.
That’s a wrap for Wealth Potion’s Ultimate Guide to Solopreneurship.
If you’re interested in pursuing solopreneurship and have more questions about what it looks like, feel free to reach out. I’m happy to create more content around this topic – it’s one that I’m personally very passionate about.
Build in Public Update
Decent growth this month, but didn’t hit the goals I set out at the beginning of April:
Some learnings:
- X and TikTok are having the most success. This makes sense, since most of my content is either written or short-form video.
- Instagram Reels are a different beast. It seems like they reward a very different type of content. Need to re-visit.
- YouTube Shorts are doing ok but long-form video is really necessary if I want to grow on that platform.
Goals for May:
- Publish my first long-form YouTube video.
- Hard launch Wealth Potion on my personal social media profiles.
- Build my first product.
What I’m left thinking about:
“The definition of insanity is — doing the same thing over and over and expecting a different result.”
– Albert Einstein
If I want to grow at a faster rate than I did in April, I can’t keep doing the same thing. I need to elevate the quality and quantity of my content.
It’s go time.
To your prosperity, Wealth Potion
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