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What does it mean to work in the private?

Working in the private means beginning with the actual relationship rather than with a label, entity, or document.

For an entrepreneur, that means asking a few basic questions first.

Who is doing the work? Who is receiving it? What value or property is being exchanged? What did the men and women involved agree to? What responsibilities did each accept? Which public roles or tools are being used, and why?

Those questions come before a PMA, LLC, bank account, payment processor, or document titled “private.”

Private work begins with the relationship itself.

Private does not mean secret

Private does not mean hidden from view. It does not mean dishonest records. It does not mean pretending an existing public relationship never existed. And it does not mean using private-sounding words to change the character of what is really happening.

A relationship is private because of the way it is arranged and carried on.

That includes the men and women involved, their property, their agreement, their conduct, the responsibilities they accept, and the records that support what happened.

If the facts show a public or statutory relationship, calling it private does not make it otherwise.

The man or woman comes before the tool

A title is a tool.

An entity is a tool.

A bank account is a tool.

A platform is a tool.

A membership association is a tool.

None of them is automatically the work itself.

Business is activity. It’s the work being done, the value being offered, the relationships being formed, the property being exchanged, the compensation being received, and the responsibilities being accepted over time.

Agreement is at the center

Private work is built around agreement.

The agreement should make clear what is being offered, what is being received, what compensation or exchange will occur, what each side is responsible for, how the relationship changes or ends, and what records will support it.

The words alone are not enough.

Conduct should match the agreement. Payment flow should match the agreement. Records should match the agreement.

Public tools can still have a place

Working in the private does not require removing every public tool.

An entrepreneur may decide to keep an entity, payment platform, license, insurance arrangement, public marketplace, or other public interface because it still performs a useful function.

That can produce a hybrid arrangement.

Some relationships may be direct and private. Others may remain public by deliberate choice.

The goal is not to pass a purity test. The goal is conscious participation.

What “operate privately” should not mean

Operating privately should not become shorthand for declaring yourself outside every statute, ignoring an agreement already in force, hiding transactions, backdating documents, calling those you serve “members” when no genuine membership relationship exists, assuming a bank account changes the character of compensation, or assuming a document overrides the facts.

Those approaches replace understanding with terminology.

Privatepreneur takes the opposite approach: understand first, design second, document third, and make the conduct match.

Where to begin

If the idea of working in the private is new to you, start by learning the distinctions before trying to redesign anything.

Read next: What Is Private Business?

Next step: Take the Free Private Business Orientation

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