What Is a Solopreneur? The Rise of One-Person Business

In recent times, there’s been a rise in people becoming a solopreneur. Shaped by the advancement of digital tools and technologies and the prioritizing of flexible working time to avoid corporate burn-out, people are opting to become a one-person business.

But what exactly is a solopreneur? Simply put, a solopreneur does everything by themselves in the business. They are their business’s CEOs, sales, marketers, accountants, and customer service representatives.

In this discussion, we’ll explore the rise of solopreneurship, how technology and AI have made it possible, the cultural shift in rejecting the 9-to-5 working norm, and why the traditional business model of needing a team is becoming a thing of the past.

Understanding the Rise of Solopreneurship

So, how big is this trend of people opting to be a solopreneur?  Here are some global trends that can be found online:

Statistical Growth:

In 2023, a record-breaking 5.5 million new enterprises were established in the US, many of which were solopreneur-led businesses. This marked a significant increase from previous years. Even more interesting is that data from the Intuit QuickBooks Small Business Index Annual Report reveals that a growing share of American businesses are run by a solopreneur—increasing from 76% in 1997 to 84% in 2020.

The numbers are definitely US-based. This sample size is enough to project a possible global trend. In short, Solopreneur is an option now.

Cultural shift – Why Solopreneur is attractive:

Global economic changes have prompted many individuals to seek autonomy and flexibility, leading to a surge in solopreneurship. The shift from traditional 9-to-5 jobs has been catalyzed by job insecurity, inflation, and changing work-life priorities.

We live in a well-connected world. Even if we are in Singapore or Malaysia, it does not stop us from offering business services remotely to overseas clients. Just check your general business email contact. How many unsolicited emails arrive every day offering digital services?

AI Integration:

To be a one-man business, you need AI. About 60% of solopreneurs use AI tools to enhance productivity and adapt to market demands, showcasing their technological savviness and resilience in challenging economic conditions.

This data does not surprise me. I would expect AI and automation to grow over time, especially with the rise of agentic AI.

The data above speaks for itself. Fundamentally, there is an attractive case for being a solopreneur. If AI and automation tools are the enablers, then the desire for autonomy and flexible working time are the definite drivers.

Traditional Business Model: Why Solopreneur Was Once Impossible

The traditional business setup is complicated and may not be meant for everyone. It required a team of people, significant financial resources, and much time. Here’s why solopreneur was once considered impossible:

1. Resource Constraints:
   Starting even a small business involves many resource constraints. These include employee costs, office rental costs, and equipment costs—all of which are high. For most individuals, these expenses require significant outlay, and the ROI for new business is uncertain in the early stages of the business.
2. Operational Complexity:
   Managing a team, delegating tasks, and ensuring collaboration added layers of complexity to running a business. It was nearly impossible to handle all the moving parts without a team.
3. Marketing and Sales:
   Solopreneur also needs to compete in the marketplace. And competing with larger businesses that had dedicated marketing teams and budgets was a daunting task. Solopreneurs often struggled to gain visibility and attract customers.
4. Decision-Making:
   Running a business requires domain expertise in multiple areas—finance, marketing, operations, and more. Without a team, individuals have to wear too many hats, leading to decision fatigue and burnout.

In short, the traditional business model favored teams with big resources at their disposal, making it difficult for individuals to succeed alone. But that will all change, thanks to digitalization, technology, and AI.

How Being a Solopreneur is benefitted from The Digital Transformation

Having worked for many years on the trend of digital transformation and experiencing and experimenting with some of the digital technologies, I can category state that the advent of digitalization and technology has leveled the playing field for solopreneurs. Here’s how:

1. Low-Cost Tools:
   Lower entry barriers and affordable software and platforms have made it easier than ever to build websites, set up e-commerce stores, and market products. Tools like Shopify, AI Chatbot technology, Canva, and social media platforms have empowered solopreneurs to compete with larger businesses.
2. Remote Work:
   The pandemic has drove the acceptance of remote work. Remote work is a business option for many companies now. The ability to operate from anywhere has reduced overhead costs and eliminated the need for physical office space. Solopreneur can now run their business from the comfort of their homes or while traveling the world.
3. Global Reach:
   Social media and online marketplaces have given solopreneur access to a worldwide audience. With the right strategy, solopreneur can easily attract customers from across the globe.

These advancements made it possible for individuals to start and run businesses independently. But the real game-changer has been the rise of AI.

The AI Revolution: Empowering Solopreneurs to Go Solo

AI tools like ChatGPT, Perplexity, and DeepSeek are taking solopreneurship to the next level. Here’s how they’re empowering one-person businesses:

1. Replacing the Need for a Team

AI can handle tasks traditionally done by multiple team members. For instance, personally, in my own capacity, I can generate 50-70 social media posts per week without automation. This number is paled in comparison with some of the top content creators.

This is what AI can help:

• Content Creation: AI can write blogs, social media posts, and marketing copy, saving solopreneurs work hours.
• Customer Support: Chatbots can automate responses and handle inquiries, providing 24/7 support without human intervention.
• Data Analysis: AI can generate insights and reports, helping solopreneurs make data-driven decisions.

2. Enhancing Efficiency and Productivity

AI tools streamline workflows, allowing solopreneurs to accomplish more in less time. To be a solopreneur, AI automation is an eventuality. You need the capacity to automate repetitive task creation or answer inquiries.

For example:

• Automating repetitive tasks like scheduling and email management.
• Providing instant access to information and resources, especially in area of preparing for industrial presentation
• Offering 24/7 support without the need for human intervention.

3. Democratizing Expertise

AI provides solopreneurs with access to expert-level knowledge and skills. This is where AI helps to reduce the gap in domain expertise that was once afforded by a team.

For example:

• Generating business strategies and financial projections.
• Offering creative ideas and solutions for marketing and branding.
• Assisting with problem-solving and decision-making.

4. Reducing Costs

AI eliminates the need for hiring additional staff or outsourcing tasks. Traditionally, not everyone is trained in a specific domain area, like graphic design or creative work. Often, businesses need to outsource or insource. Now, with AI, these can all be taken care of.

For example:

• Using AI for graphic design, video editing, and other creative tasks.
• Leveraging AI for market research and competitor analysis.
• Automating administrative tasks to save time and money.

With AI by their side, solopreneurs can now handle tasks that once required a team, making it easier than ever to run a one-person business.

The Future of Solopreneurship: A One-Person Business World

As AI continues to evolve, I reckon more people will opt to be a solopreneur. Here’s what we can expect:

1. Increased Accessibility:
   Thanks to AI-powered tools, more people will be able to start and run businesses with minimal resources.
2. Greater Efficiency:
   AI will continue streamlining operations, allowing solopreneurs to focus on growth and innovation.
3. Enhanced Creativity:
   AI will spark new ideas and help solopreneurs stay ahead of trends, driving innovation across industries.
4. Disruption of Traditional Models:
   Solopreneurs will continue to disrupt industries, proving that you don’t need a team to build a successful business.

The rise of solopreneurship is a testament to the power of technology and AI. It reminds us that with the right tools, anyone can turn their dreams into reality.

Getting Started as a Solopreneur in the AI Era

If you’re ready to start your solopreneur journey, you probably need some preparation and learning. Here are some actionable tips to get started:

1. Leverage AI Tools:
   Start with free or low-cost AI tools like ChatGPT, Perplexity, or DeepSeek. Learn the right prompting style and experiment with different use cases to find what works best for your business.
2. Focus on Your Strengths:
   Use AI to handle tasks outside your expertise so you can focus on what you do best.
3. Invest in Learning:
   Take the time to learn the use cases of using AI. Plenty of tutorials and online courses are available to help you get started.
4. Start Small:
   Don’t be afraid to start small. With AI, you can scale your business at your own pace.

Conclusion: The Solopreneur’s Secret Weapon

Becoming a Solopreneur will become an option. With technology disruption running at a breakneck pace and the desire to prioritize mental well-being to have more control over personal time, this trend will not stop.

Of course, to be a solopreneur, you will need to learn how to copilot with AI and leverage digital tools. With AI by your side, there’s no limit to what you can achieve.

Whether solopreneurship is an option for you down the road, it may be best to start mastering AI now. You may not know when that entrepreneur spirit will kick in. Or, before embarking on solopreneur, how about trying out side hustle? You can have a good read here on why side hustle + main job may be the future of work.

Share your thoughts and comments below.