Microbusiness Mentor

If you are a prospective entrepreneur, you may work with, or are considering working with a mentor, coach, or mastermind group. What is the difference between mentors, coaches, and mastermind groups?

Mentor or Coach

If you think that mentors and coaches are two terms describing the same idea, you are not alone: many assume that mentors and coaches are one and the same. This confusion also exists because in some cases, a person may serve both as a mentor and coach.

Here is how I define mentor and coach:

A “mentor” is a person who has the experience or achievement you desire to learn from. Mentors often work in the same area of expertise or industry as you, and have attained a level of success you desire to create for yourself.

Mentors sometimes charge a fee, thus don’t expect mentors to provide advice pro bono. If you truly want to learn from a successful person, you should be prepared to pay for it and not be offended by the idea. I have paid good money to a consultant who markets himself as a mentor to others who want to start consulting businesses, and for the results I had gained, it was a good investment.

A “coach” is a person who does not have to have experience in the same field or industry as you to help you work on an aspect of yourself. Coaches charge a fee, but may provide a free consultation so you may mutually gauge whether a coaching relationship is suitable. I have worked with coaches who specialize in a particular process of professional or personal development.

Masterminds May Be a Partnership or Group

A “mastermind” is a partner or group of individuals whom you consider to be your “peer” in the dimension you want to work on (for example: career, business, or personal development). Participants in a mastermind group should not compete in the same industry, or the group environment would not be optimally conducive to sharing of challenges.

There are formal mastermind groups that are fee-based, where discussions may be structured and there may be a facilitator. The value proposition for a fee-based mastermind group should be clear and defensible. Mastermind groups should not be a networking or “glorified sales pitching” opportunity. The facilitator, if present, can be a critical factor on the productiveness of the group.

There are also informal mastermind groups that are free, and contingent upon each member mutually agreeing on the value the group should generate for its members. Group discussions may be less formal, and coherence is based on the collegial relationship and trust amongst the members.

For the past 2 years, I have had monthly teleconferences with a “business mastermind” partner who is a consultant and entrepreneur in a non-competing industry. We cover a lot of ground, from business strategy to reinvention or work-life issues, even though our conversations are not “structured” and I don’t answer the phone armed with bullet points.

How Do I Choose?

If you have the resources, you may not have to choose, and can work with all three as part of your business launch or development as an entrepreneur.

If you have to choose, here are some questions to help you narrow your choices:

• How much specific industry expertise and knowledge do you need? For example, if you are looking to break into the outdoors gear industry, you can benefit from someone who already works in this industry in a mentoring relationship.
• What skills or competencies are you looking to develop? Depending on your the types of skills or competencies, a coach or mentor may help.
• How much guidance do you need? Do you need someone to hold you accountable? Coaches are helpful in this case.
• Are you looking for sounding board or a means to generate new ideas? Even though mentors and coaches can help with ideas, I believe in the power of many when it comes to innovation. Mastermind groups are useful for brainstorming, getting multiple perspectives, and generating new ideas.

Image credit: Business world by Mark Normand

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