Entrepreneur Law and Legal Definition

The term entrepreneur comes from the French term for "enterpriser" or "one who undertakes." An entrepreneur is a person who creates a new opportunity to make substantial profits and then takes the initiative in exploiting this opportunity, typically by organizing a new business firm or expanding an existing business. The new opportunity may involve the introduction of a new good or service only recently invented or improved or making an existing product more marketable.

Entrpreneurs are characterized by creative, innovative thinking and risk-taking. Entrepreneurs serve an important role in enabling the economy to adapt to changing conditions and new possibilities for material improvements by creating new production organizations, and even whole new industries. Entrepreneurship involves the ability to foresee future conditions of supply and/or demand that will be quite substantially different from current conditions. Entrepreneurs are able to discover a new profit opportunity and mobilize resources to exploit it.