The E-Myth Revisited: Why Most Small Businesses Don't Work and What to Do About It

by Michael E. Gerber

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In this compact disc edition of the totally revised underground bestseller -- The E-Myth, Michael Gerber dispels the myths surrounding starting your own business and shows how commonplace assumptions can get in the way of running a business. He walks you through the steps in the life of a business -- from entrepreneurial infancy, through adolescent growing pains, to the mature entrepreneurial perspective, the guiding light of all businesses that succeed -- and shows how to apply the lessons show more of franchising to any business, whether or not it is a franchise. Finally, Gerber draws the vital, often overlooked distinction between working on your business and working in your business. After you have listened to The E-Myth Revisited, you will truly be able to grow your business in a predictable and productive way. show less

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37 reviews
I love this book because it opened my eyes to why so many small businesses struggle despite the owner’s talent and hard work. The E-Myth Revisited by Michael E. Gerber challenges the common misconception that technical skill alone is enough to run a successful business. Through clear storytelling and practical examples, Gerber illustrates how many entrepreneurs get trapped in the day-to-day operations, failing to work on the business itself.

What I found most valuable is the distinction Gerber makes between working in your business versus on your business. He emphasizes building systems, processes, and a business model that can function independently of the owner, the very principle that separates a sustainable business from a hobby or show more a job disguised as a business. The book is both motivational and instructional, encouraging business owners to step back, plan strategically, and create repeatable processes.

If there’s a critique, it’s that some concepts may feel obvious to experienced entrepreneurs, and the examples can lean toward older, traditional small businesses. Nevertheless, the insights are timeless for anyone starting or scaling a business. I highly recommend this book to small business owners, aspiring entrepreneurs, or anyone who wants to build a business that can thrive long-term rather than rely solely on their personal effort.
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The E-Myth Revisited was recommended to me ages ago, but I never felt inspired to read it.

One evening, I was perusing my stacks, pulling books out to look at their covers, hoping to find the “perfect” book to read next.

Literally, The E-Myth Revisited dropped to the floor. I took it as a sign from The Universe and dug in. Boy, am I glad I did because it was exactly the book I needed!

The E-Myth Revisited is a classic business book for a good reason: It teaches you a workable business model – one that allows you to help your ideal clients while earning a profit.

The premise is the business franchise model. Think of McDonalds. No matter what McDonalds you go to in the U.S., you can count on the same experience, food, and service. show more That’s because McDonald’s is a franchise, and franchise owners receive the tools and training to ensure their restaurants are profitable.

What if you set up your business like a franchise? What if your business was designed in a way that you could sell it later (even if you never sell it)? How does this perspective change how you run your business?

The idea of running my business like a franchise, where I am focused on how I am delivering my product (versus what the product is), was a game changer for me. It changed how I am running Celestial University, specifically my Virtual Networkers division.

If you are out of ideas – or need new ideas – on how to make your business profitable, it’s time to reach for a classic. It’s time to reach for The E-Myth Revisited.

My big takeaways:

#1: Focus on my method of delivery

I am the founder of an online university for women entrepreneurs. I have the platform, but how am I delivering my service, really? That’s something I will be thinking about more and more.

#2: I need an org chart, pronto

One of the exercises Gerber recommends is to create an org chart and include positions that you can’t fill yet. Once the org chart is done, I will complete “position contracts” so that I have the job descriptions nailed down before I hire someone. In the past, I shied away from both exercises because I am a one-woman show. I now know that I will stay a one-woman show if I don’t think about who to add to my team.

#3: I am tired of not being very profitable

I am blessed to earn a profit, but I want to be more profitable. I wasn’t sure how to become more profitable until I read this book. Now I have a plan. Equally important, I know I can attain it. Time to bust out of my comfort zone and do it!

How The E-Myth Revisited relates to entrepreneurs:

If you’ve gotten down this far in my review, it’s probably a no-brainer how The E-Myth Revisited relates to entrepreneurs. To be sure, this book will ask hard questions and make you think outside your comfort zone. If you are ready to grow your business but need direction on how to do so, your next book should be The E-Myth Revisited. No question about it!
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An interesting book with interesting ideas that definitely get one pondering what it means to be an entrepreneur, rather than merely a technician who dislikes his manager.

Perhaps the biggest idea in the book is that a successful business is nothing more than a particularly ordered view of a piece of the world. By giving your employees and customers a predictable, consistent experience, you are able help them feel that their world is slightly less chaotic and scary. And as the owner of the business, you get to define what that structured view is. Most of the rest of the ideas in the book are corollaries to this idea (even those ideas mentioned before Gerber introduces this one).

The book is written in easy prose and doesn't take much show more actual reading time at all, although I spread it across several sittings over the course of a few weeks. I started slowing down a little in later chapters as Gerber got into some of the more tactical pieces, such as marketing and different types of systems, but mostly that's I don't see myself getting to that point yet for awhile.

As other comments have mentioned, I was a little put off by the serial installments of the fictionalized pie owner "Sarah" that Gerber uses to reillustrate his points at the end of each chapter. The dialogue between Gerber and his alleged client is simply not believable in many parts, and while I understand the usefulness of the gimmick, it probably could have been done away with or lessened as the book goes on.
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The book contains some useful information but the self-righteous tone of the author makes reading it a chore. There are better books on the importance of business process, with less double-speak, and less entrepreneur-as-noble-visionary rhetoric.
This is a fine book showing some of the flaws of small businesses and why so many fail. The author uses a fictional small business owner who started a pie shop and running herself ragged. She has a great gift in making pies but is burning herself out. She was thinking about how she her job was making and selling pies when her business could and should be so much more.

Successful companies don’t actually sell the products that they make. They fulfill an emotional need of their clients. For instance, Southwest Airlines is not selling airline tickets but a fun way to travel. Disney is not selling you a Mickey Mouse hat but to experience having the innocence of child again. Harley-Davidson is not selling you a motorcycle – but a show more membership to a rebellious, unbridled culture.

My mind went racing while I thought of the four or five companies on my mind.

This book finally made some sense about why someone would write a book telling the world their secrets. The author possibly has hit a ceiling on the amount of time he can invest – the amount of money he can make. The only way he could make more money is to leverage himself in making CD’s, doing lectures, and yes, writing books.

The third major point this book made was about systems. I really dislike systems in the workplace because they dehumanize the person. However, the author made some of the best arguments against this notion. I’m forced to rethink my ideas on this subject.

But if you are a small business owner or are looking to become one, you really have to read this.
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I appreciate the approach this author takes towards

small business development. His approach is broad

enough for anyone thinking of starting any type of

small business to find guidance. However he is also

supplies enough specific guidelines to make his

advice practical. I agree with him about the

"mythology" of small busines; it is just working

for yourself. It is more, and less, than just work.

A person starting and running a small business

needs to integrate it into her life not just work

harder. The main disappointment I have with the

book is its lack of an index. I like referring back

to books as a reference.
The company that produced this book, E-Myth Worldwide, was founded in 1977 by the author and its methodology has no doubt helped make countless businesses successful. I'm holding out hope though that capitalism can do better than this. There are a few useful ideas here, but revolutionizing how to transform employees into new and improved cogs in a wheel is not a good model for the future.

Also, framing the book as a conversation between the author and a fictional small business owner doesn't work well in this case. The words come across as childish and preachy.

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27+ Works 4,104 Members
Michael E. Gerber is the legend behind the E-Myth series of books, which includes The E-Myth Revisited, E-Myth Mastery, The E-Myth Manager, The E-Myth Physician, The E-Myth Contractor, and The E-Myth Enterprise. Collectively his books have sold millions of copies Worldwide. Michael is also highly sought after as a speaker and consultant. He lives show more in Carlsbad, California. show less

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Common Knowledge

Canonical title
The E-Myth Revisited: Why Most Small Businesses Don't Work and What to Do About It
Original publication date
1985; 1995; 2001
Canonical DDC/MDS
658.02'2; 658.022; 658.02; 658

Classifications

Genres
Business, Nonfiction, General Nonfiction
DDC/MDS
658.02Applied Science & TechnologyManagement & public relationsGeneral management
LCC
HD62.7 .G458Social sciencesIndustries. Land use. LaborIndustries. Land use. LaborManagement of special enterprises
BISAC

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Reviews
35
Rating
(3.93)
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Media
Paper, Audiobook, Ebook
ISBNs
35
UPCs
1
ASINs
21