Are you a natural leader? Someone whom others naturally follow? Or maybe someone who wants to go his own way as a one-man show?

Depending on the type business you choose, either type can succeed as an entrepreneur. Followers, though, should go find a leader rather than striking out on their own. Managers should probably stick with managing.

That’s because it’s the business owner who must make the tough decisions, set the company’s direction and inspire employees to consistently perform with excellence. A follower or a manager can’t do that effectively.

The entrepreneur must be able to skillfully lead and motivate people. If she can’t, the result could be poor employee morale, confusion, low performance, rapid employee turnover—and eventual failure of the company.

“Management is a different mindset because you manage something that exists,” explains Steven Simonyi-Gendele, a serial entrepreneur who now heads PICS SmartCard of Vancouver. “An entrepreneur creates something new where there’s no road map. There are few people who are both excellent entrepreneurs and managers because the traits are so different.”

Adds Tony Warren, Farrell professor of entrepreneurship at Penn State University, “Entrepreneurs are more like generals. They see the big picture, but aren’t good at managing detail because it bores them. Good entrepreneurs bring in others to do that, and spend their time creating the company vision. They are great multitaskers.”

Followers, meanwhile, may be terrific at executing the work or making the sale, but can’t lead the charge effectively.

To lead, the entrepreneur also needs to be a positive thinker, someone able to make lemonade out of the lemons that business throws her way. That doesn’t mean a Pollyanna who’s unable to see reality, but someone who doesn’t see doom and gloom behind every lost sale. How can you lead others and solve problems if you’re always expecting negative outcomes?

Part of leadership is being a self-starter as well. When you’re in charge, either over employees or your own one-person shop, there’s no one standing there ensuring that you work.

If you’re not working, of course, you’re not bringing in business.

And if you’re not bringing in business, you won’t succeed as an entrepreneur.