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If one founder is good, then more must be better, right? Not necessarily. New research shows that the benefits of cofounding a startup with strangers can be eclipsed by the risks. Yes, cofounders can bring their own perspectives, along with access to wider networks, greater capacity, and access to funding, says Monique Boddington, a management practice associate professor at the University of Cambridge’s Judge Business School, whose research includes early-stage venture formation and startup strategy development. And yet: An increasing number of individuals have been setting up businesses with no intention of taking on employees, she explains. Thats because more people are identifying as solo entrepreneurssolopreneurs”since the pandemic, Boddington adds. And while the distinction between self-employed, freelancer, and solopreneur is still murky, the way to spot [solopreneurs] is whether their venture pursues novelty and scalable opportunity or mainly income replacement or replication, she says. For those running startups, many such workers are choosing to go it completely alone. In 2022, 84% of all U.S. firms had no employees, meaning there was just the one person running the business. These 29.8 million “nonemployer businesses” accounted for $1.7 trillion, or about 6.8% of the economy. And the momentum hasnt slowed; in 2023, Americans filed over 5.5 million new business applications, and Gustos 2025 New Business Formation survey suggests more than 4 in 5 small businesses in the U.S. have no employees. Why people do it According to the same Gusto survey, over 50% of solopreneurs cite career autonomybeing ones own boss”as the reason for adopting a lone wolf, owner-only business model. Many, like growth marketing consultant and content creator Kevin Fernando, do so because of the unmatched freedom it affords them. Fernando, who is the founder of Solopreneur Digital, where he helps entrepreneurs and software-as-a-service (SaaS) companies grow, says that you get to move quickly, make decisions that align with your vision, and build something thats fully your own. Of course, going solo, and starting a venture with no cofounder or employees, doesnt come without its challenges. The flexibility and autonomy of being your own boss often come with the vulnerability of being on your own, says Filip Majetić, sociologist and senior researcher at the Ivo Pilar Institute in Croatia. While strong social support from family and friends can improve solopreneurs overall mental and physical health, he explains, this support does not buffer specific stress-related health problems such as exhaustion and headaches. Like many others, Fernando finds everything falls on him, and the constant context switching can be draining. When youre a solopreneur, youre not just the strategist. Youre the marketer, customer support, designer, and operations managerall rolled into one. You have to be self-motivated and resilient because theres no one else, he says. Thats especially the case if youre not sharing responsibilities with a cofounder in your ventures early days. But new research posits that this may be a good thing. Stranger danger Conventional wisdom would suggest that bringing on a cofounder with a vastly different network from your own leads to more potential funds, as the chances of overlap in who you know would be lower. While that may be true, an analysis of over 3,500 Kickstarter campaigns in a study titled, “The ‘Devil’ You Don’t Know,” reveals that new ventures that include strangers on the team are less than half as likely to deliver the product or service they pitched, and almost twice as likely to cease operations. Studies challenging beliefs that resilience is universally beneficial to entrepreneurial teams are gaining traction, suggesting the very advantages that seem so compelling on paper can also introduce frictionmaking teams less reflexive, slowing decision-making, and complicating execution. While having people with diverse skills and experience on a founding team has significant benefits, their ability to work together effectively is just as important, explains Kimberly A. Eddleston, the Schulze Distinguished Professor of Entrepreneurship and Montoni Research Fellow at the DAmore-McKim School of Business at Northeastern University. They need to be compatible, trustworthy, and able to communicate. Its one of businesss oldest truths: If you work with the right people, everything else falls into place. The problem? Nailing the people part of the equation is really hard. The limitations of going it alone Solopreneurship can be a great starting point to get an idea off the ground. A single person can bootstrap with greater resource efficiency, greater control, rapid iteration, and hire-in capabilities, Boddington says. But to scale, she explains, a team is critical. Founding teams are also more likely to attract funding in the first place, and the Kickstarter research revealed that teams comprised of strangers garnered more crowdfunding backers because they served as novel bridges to resources. Crucially, operational struggles (such as coordination breakdowns, delays in delivering promised products or services, differing work styles leading to relational uncertainty, misalignment of vision and goals, and potential early stage dissolution) appeared in teams with strangers in the boardroom, not businesses bound by strong family or friendship ties. Not all cofounders are a liability, Eddleston says. In ventures with family, for example, team members can rally quickly in a crisis, and [they] have a ‘survival’ advantage because family members are willing to work for below-market wages, and even for free, to keep their business float, she says. Still, entrepreneurs can thrive totally alone, without a cofounder or a team. With AI revolution, the next wave of entrepreneurship wont be about bigger teams, but smarter individualsAI-powered solopreneurs who turn technology into their growth partner, says Areti Gkypali, an assistant professor at Athens University of Economics and Business in Greece. The strategy has worked well for Fernando. By automating repetitive tasks and building systems to handle things like client communications, lead generation, and content distribution, hes shaved 20 to 25 hours off his workweek, freeing him to focus on strategic priorities. Ultimately, for anyone eyeing a new startup, its worth being strategic about who, if anyone, to partner with. As Fernando says: Its a lifestyle that rewards focus and leverage more than raw effort.
Category:
E-Commerce
If its one thing that can consistently break the internet, its pets. Take Pancho the diva: The 1-year-old English cream mini dachshund started his career early in the fame-hungry world of LA, and is now a celebrity with 148,000 followers on Instagram. We created this personality of this dog that is a diva and a brat who loves the lavish, luxury lifestylebut his poor little parents cant afford it, says his owner, Felix Levine, entrepreneur and host of the popular podcast Unlike Me. He and Serena Kerrigan, founder of the dating game Lets F**ing Date, are seasoned content creators, so when friends joked about giving their new dog an online persona, the idea stuck. We thought maybe a Dear Diary, I hate my parents vibe, Felix recalls. The content quickly evolved into vlogs with AI-powered voice-overs, where Pancho shared his spoiled rants at his parents. And the idea gained momentum: from Central Park to a European summer, Panchos following snowballedgaining 30,000 followers in just two weeks. Brands took notice. Panchos first deal was with Five Below, followed by partnerships with Pet Life Unlimited, Target, Amazon, and even Kiehls. (Yes, the skincare giant now has a dog line). From toys to gourmet snacks and premium grooming, each partnership was endorsed with his signature diva flair. Serena Kerrigan and Pancho [Photo: Courtesy of Felix Levine] The pups collabs don’t scream ‘ads’, and thats precisely why it works. In the last month alone, his posts reached 24 million viewers and drew over 9 million engagements, a rate many of his fellow human influencers would feel a twinge of envy for. With affiliate links, brand partnerships, and his own storefront, Pancho has a mini-media empireand hes only turning one. Levine and Kerrigan declined to disclose exactly how much revenue Pancho has generated, but confirm its in the six figures. The “petfluencer” trend isn’t new. But it’s just as profitable as ever. Charming, and delivers results A study published earlier this year in The Journal of Advertising Research found that pet influencers outperform human influencers, particularly since theyre seen as more sincere and trustworthy than their human counterparts, who are often met with skepticism due to perceived commercial motives. Social media endorsements from petfluencers have been shown to generate stronger consumer responses, including higher engagement and greater willingness to pay. Pancho [Photo: Courtesy of Felix Levine] Lead researcher Dr. Laura Lavertu, a lecturer in marketing at the University of Strathclyde in Glasgow, echoes this idea: Petfluencers offer distinct advantages compared to human social media influencers. While human influencers often persuade through relatability or aspiration, petfluencers are seen as more genuine. They have no hidden agenda, no baggage, no scandals. The study also noted that as the number of sponsored posts by human influencers rises, their perceived sincerity declinesa phenomenon researchers call influencer fatigue, which in turn makes pets a more credible alternative. (The more fur or legs you have, the more credible you are, apparently.) Some have even become household names: As reported by Forbes, TikTok user @princesshoneybellex, a big-shot Australian cat influencer, earned $74,148 in 2023 alone, surpassing the U.S. average salary. Could your pet create a cash flow? Our four-legged friends offer brands countless opportunities in the pet care market, which is anticipated to reach over $427.75 billion by 2032. And its not just pet-focused companies cashing inlarger brands like Dyson are tapping into the rise of petfluencers, partnering with celebrity pups to extend their reach in a way that resonates directly with pet owners. In today’s oversaturated media landscape, where ads are swarming from every corner, partnering with a celeb pet might be your smartest marketing move. As noted by The Journal of Advertising Research, people follow and engage with petfluencers for the joy and entertainment that they bring, and are, overall, universally loved given their ability to communicate with diverse audiences and transcend cultural differences. When Pancho first came home weighing just a pound and a half, his owners thought they were getting a dog. As it turns out, hes now running his own business, landing brand dealseen managing his own intern to keep up with his demanding schedule.
Category:
E-Commerce
Leaders learn to say things with confidence. You may assume that people will be more prone to listen to you when you speak forcefully and with a sense of belief. Despite your best efforts, though, youre going to say something incorrect every now and again. You might get out ahead of a story only to find out that things were not as they seemed initially. You might just have your facts wrong. Regardless of why you erred, you still have to be willing to admit that you were wrong. Happily, there is an easy way to do this, though you may find it hard to do at first. You have to admit you were wrong. Yup. Thats right. You just have to come out and say it. There is a simple formula for admitting you were wrong. Do it right away Let everyone know as soon as possible after you find out that you said something that was not correct. Dont sit on the error for days. It is best if everyone hears it from you rather than having someone else discover the mistake first and make your admission feel like a reaction. Of course, if someone else does point out that what you said was incorrect, you should verify that they are correct and then immediately thank them for providing the feedback. You might even credit them in your statement After all, you want the people who work for you and with you to own their mistakes. The best way to demonstrate that you value corrections is to issue your own quickly. In addition, by thanking people who pointed out errors, you encourage others to step forward with errors they notice as well. That helps to keep the organization functioning with good knowledge. Use simple declarative sentences There is some embarrassment that can come along with making mistakesparticularly when youre new to leadership. You may think that leaders need to be infallible. As a result, you may not want to put a dent in your reputation by saying that you were wrong. To cover for this embarrassment, you may use tortured sentences to avoid owning the error. You may resort to the passive voice (Mistakes were made . . .) or use lots of qualifiers (When speaking about the upcoming sales meeting, I inadvertently left out . . .) or cast blame elsewhere (Sadly, when I spoke, I was relying on . . .) It turns out that great leaders dont need an air of infallibility, they need to project transparency. You create trust by being honest, not by being right all the time. Simply saying something like, Recently, I told you X. Actually, Y is true, is incredibly effective. And, again, speaking in this way encourages other members of your team to come forward and admit when they have said something wrong. Do a postmortem Of course, just because you admit when youre wrong doesnt mean that it is good to be wrong. Youd like to minimize the number of times that you have to walk back something you said. It is important to figure out why you ended up making a statement that was not true. Perhaps you spoke too quickly without verifying information. Perhaps you relied on sources that did not have the full story. Perhaps you made intuitive leaps that led you astray. If you have trouble figuring out how you might have gone wrong, consider talking to a colleague or mentor about the situation and walking through it with them. You might find that just talking it through helps you to figure out where you went wrong. And their expertise may bring to light problems with your process that led to you saying something wrong. When mentoring some of your direct reports, you might even want to refer to the errors in your own judgment that you discover. That way, you can help the people working for you to make a different set of mistakes rather than having to repeat yours to learn for themselves.
Category:
E-Commerce
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