What is Lifestyle entrepreneurship?
Portugal news - Lifestyle entrepreneurship represents 6.5% of Portugal’s GDP, according to Álvaro Dias, professor and researcher at the University institute of Lisbon, ISCTE.
Taking as an example the former banker who opened a surf school to showcase Lifestyle entrepreneurship in Portugal in his book “Lifestyle Entrepreneurship”, Álvaro Dias highlights that this new entrepreneurship trend focuses more on quality of life and sustainability than on quick profits. Figures show that around 80% of Lifestyle entrepreneurs do not pursue growth at all costs, but rather a life aligned with their own values.
What is Lifestyle entrepreneurship?
For most people, the term “entrepreneur” conjures up images of powerful executives building multi-million-euro empires, aiming to become the much-admired Unicorns. There is a tendency to conceptualize entrepreneurship as a motivation for wealth, but what about entrepreneurs who choose a different path, where success is not measured solely by financial results?
What about those who do not want to grow their business because they want to have a life? This new paradigm shift in entrepreneurship is a way of developing a business that enhances the person’s lifestyle.
Lifestyle entrepreneurship covers areas as diverse as agriculture, health, well-being, crafts and sport, with a particularly strong impact on the tourism sector, which represents around a fifth of Portugal’s GDP.
The impact of Lifestyle entrepreneurship on Portugal’s economy shows that it is vital for the diversification and sustainability of the Portuguese economy.
One third of tourism activity in Portugal is carried-out by Lifestyle micro-enterprises, and this number could be even higher, since some sectors, such as crafts, are not counted in tourism statistics. These companies are seen as an alternative to mass tourism, offering authentic and personalized experiences that can contribute to more sustainable tourism to benefit local communities.
The growth of Lifestyle entrepreneurship in Portugal
According to Portuguese researcher Álvaro Dias, the popularity of Lifestyle entrepreneurship has been growing in Portugal, especially since the economic crisis of 2011-2013, that led many qualified people to seek activities that are in line with their ideals. For this new type of entrepreneurs, success lies in living at their own pace, in accordance with the goals they have chosen, while preserving their quality of life.
Success stories of Lifestyle entrepreneurship in Portugal include the story of the former banker who opened a surf school in Costa da Caparica and that of a former director of a pharmaceutical company who founded a craft beer factory in Sintra.
The growth of Lifestyle entrepreneurship in Portugal is hampered by access to financing, and the Portuguese researcher proposes the idea of developing new financing models, given this new sector’s economic impact, as well as its impact on environmental sustainability.