Startup vs Smb Difference

Sometimes, I find myself getting confused about startups, even though I’ve been working with several startups for over 10 years. What defines a startup, and what is the difference between an SMB and startups?

In general, startups often have disruptive aspects, whether on the technical or business side, while SMBs are typically considered small businesses. In terms of that, all startups will be SMBs, but I rarely encounter founders who refer to themselves as SMB owners. Most of them probably think of us as founders, not owners. However, I believe there is a key differentiation between startups and SMBs.

Let’s assume we are interested in the F&B domain.

If tomorrow, we open a nice, cute cafe near the CBD area, I will probably call myself the owner. I won’t have any plans for sharing profits with any or all staff, but we might tell them ‘we are a family’. But yeah, it is mine and my precious not for them.

On the other hand, if I start my own startup with some ideas in the F&B domain, we will refer to ourselves as founders. Typically, we would offer an ESOP plan for early employees and tell them, ‘Let’s build together.’

Personally, I’ve met some people who call themselves founders but act like owners. If you join the company, you will just be one of them, easily replaceable. Then, they will only care about the money, not the vision or anything else.

Some founders complain to me they can’t find a good employee because they only care about the paycheck but here is my question.

What kind of companies are you currently running?