Sign up to access the complete lesson and track your progress!
Unlock This CourseNot all business owners are just chasing money! Many entrepreneurs start and run businesses because they want personal satisfaction - the good feeling that comes from doing something meaningful and worthwhile. This is called a non-financial objective because it's not about pounds and pence, but about feeling fulfilled and happy with what you do.
Think about it - would you rather spend your working life doing something boring that makes lots of money, or something you love that makes enough money to live on? Many business owners choose the second option!
Key Definitions:
When business owners feel satisfied with their work, they're more motivated, creative and likely to stick with their business through tough times. Happy business owners often create better products and treat customers and employees better too!
Personal satisfaction can come from many different sources. Let's explore the main types that motivate business owners to keep going, even when times get tough.
Many entrepreneurs start businesses because they want to create something new or express their creativity. This could be designing clothes, writing books, making music, or inventing new products.
Fashion designers, graphic artists and craft makers often prioritise creating beautiful things over maximum profits.
People who love building and creating new products find satisfaction in solving problems through innovation.
Food entrepreneurs often care more about creating delicious experiences than just making money.
Some business owners get their satisfaction from knowing they're helping people or making the world a better place. This is sometimes called having a "social mission".
TOMS Shoes was founded with a "One for One" model - for every pair of shoes sold, they give a pair to a child in need. The founder, Blake Mycoskie, started the company after seeing children without shoes in Argentina. His main objective wasn't just profit, but helping children around the world. This personal satisfaction from helping others has driven the company's success and inspired many customers to buy from them.
Many people start their own businesses because they want to be their own boss. They find satisfaction in making their own decisions, setting their own hours and not having to answer to someone else.
Business owners can often choose when and where they work, giving them better work-life balance and time for family or hobbies.
Some entrepreneurs find satisfaction in running their business according to their personal values and beliefs. This might mean treating employees fairly, protecting the environment, or supporting their local community.
Business owners who care about the environment might choose to use sustainable materials, reduce waste, or create products that help protect nature - even if it costs more money.
Companies making biodegradable packaging or organic food often prioritise environmental impact over maximum profits.
Solar panel installers and wind farm developers often feel satisfied knowing they're helping create clean energy.
Businesses focused on recycling or reducing waste find satisfaction in helping solve environmental problems.
Some business owners find satisfaction in treating their workers fairly, paying good wages and creating positive working conditions - even when it would be cheaper to do otherwise.
Ben Cohen and Jerry Greenfield started their ice cream company with strong values about fair treatment and social justice. They implemented a policy where the highest-paid employee couldn't earn more than 5 times what the lowest-paid employee earned (though this later changed as the company grew). They also used their business to support causes they believed in, like environmental protection and social equality. Their personal satisfaction came from building a business that reflected their values, not just one that made the most money possible.
Many entrepreneurs find personal satisfaction in achieving goals they set for themselves or gaining recognition for their hard work and success.
There's a special satisfaction that comes from starting with just an idea and building it into a successful business. Many entrepreneurs talk about the pride they feel in creating jobs, serving customers and building something lasting.
The satisfaction of overcoming challenges, learning new skills and proving to yourself (and others) that you can succeed as a business owner.
While personal satisfaction is important, focusing too much on it can sometimes create problems for businesses.
If a business owner cares more about personal satisfaction than making money, they might struggle to pay bills, invest in growth, or compete with other businesses that focus more on profit.
Choosing expensive ethical suppliers or paying high wages might leave less money for day-to-day operations.
Businesses focused on satisfaction might grow more slowly than those focused purely on profit.
Competitors who focus only on profit might be able to offer lower prices or invest more in marketing.
The most successful businesses often find ways to achieve both personal satisfaction and financial success. This might mean starting with a focus on satisfaction but gradually building profitable systems, or finding customers who share the same values and are willing to pay for them.
Patagonia was founded by Yvon Chouinard, who wanted to make high-quality outdoor gear while protecting the environment he loved. The company donates 1% of sales to environmental groups and encourages customers to buy less by repairing products instead of replacing them. This focus on environmental responsibility gives Chouinard personal satisfaction, but it also attracts customers who share these values and are willing to pay premium prices for ethically-made products. The company has become very profitable while staying true to its founder's values.
When personal satisfaction is a key objective, it influences many business decisions in ways that might seem unusual to someone focused only on profit.
Business owners might choose to offer products or services that align with their values, even if other options would be more profitable. For example, a restaurant owner who cares about health might refuse to serve junk food, or a tech company might choose not to collect customer data for advertising.
Choosing suppliers, partners and business practices based on personal beliefs rather than just cost or profit considerations.
Unlike profit, which you can measure in pounds, personal satisfaction is harder to measure. However, business owners can look for signs that they're achieving this objective.
Business owners experiencing personal satisfaction often report feeling excited about going to work, proud of their products or services and happy with the impact they're having on customers or society.
Looking forward to work and feeling energised by business challenges rather than stressed or bored.
Feeling proud to tell others about your business and what you do for a living.
Feeling like your work matters and makes a positive difference in the world.
Personal satisfaction is a powerful motivator for many business owners. While it's important to make enough money to survive and grow, the most successful entrepreneurs often find ways to combine financial success with personal fulfilment. Understanding this helps explain why some businesses make decisions that might seem strange from a purely profit-focused perspective, but make perfect sense when you consider the owner's desire for personal satisfaction and meaning in their work.