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The differences between managing members and business owners can be seen in a few details. Each job has different responsibilities and duties. Additionally, a managing member has an average salary of $92,537, which is higher than the $50,934 average annual salary of a business owner.
The top three skills for a managing member include financial statements, real estate and payroll. The most important skills for a business owner are customer service, payroll, and financial statements.
| Managing Member | Business Owner | |
| Yearly salary | $92,537 | $50,934 |
| Hourly rate | $44.49 | $24.49 |
| Growth rate | 6% | 6% |
| Number of jobs | 26,657 | 107,663 |
| Job satisfaction | - | - |
| Most common degree | Bachelor's Degree, 63% | Bachelor's Degree, 52% |
| Average age | 47 | 44 |
| Years of experience | - | 6 |
A managing member is an individual who has an ownership interest of a limited liability company (LLC) and is involved in its daily management. Managing members have an authoritative position that allows them to represent the company in contract negotiations and agree to the terms of a binding contract. They can purchase and sell properties owned by the company and can hire or terminate employees. Managing members also receive salaries and are not entitled to share in the profit or loss of the company.
Business owners, also known as Entrepreneurs, are responsible for their company and brand's success. There are many areas of responsibility when you're a business owner, such as in the aspects of planning and budgeting, arranging finances and legal documentation, and even hiring the workforce essential for the business to grow. However, these responsibilities will vary according to how a business owner will uphold them. Moreover, building a business from the ground up requires dedication and a vision and mission for the brand.
Managing members and business owners have different pay scales, as shown below.
| Managing Member | Business Owner | |
| Average salary | $92,537 | $50,934 |
| Salary range | Between $49,000 And $172,000 | Between $27,000 And $94,000 |
| Highest paying City | San Jose, CA | Seattle, WA |
| Highest paying state | Connecticut | Washington |
| Best paying company | Memorial Sloan Kettering Cancer Center | BD |
| Best paying industry | Government | Retail |
There are a few differences between a managing member and a business owner in terms of educational background:
| Managing Member | Business Owner | |
| Most common degree | Bachelor's Degree, 63% | Bachelor's Degree, 52% |
| Most common major | Business | Business |
| Most common college | University of Pennsylvania | University of Pennsylvania |
Here are the differences between managing members' and business owners' demographics:
| Managing Member | Business Owner | |
| Average age | 47 | 44 |
| Gender ratio | Male, 69.2% Female, 30.8% | Male, 51.4% Female, 48.6% |
| Race ratio | Black or African American, 7.6% Unknown, 4.7% Hispanic or Latino, 12.7% Asian, 8.9% White, 65.5% American Indian and Alaska Native, 0.7% | Black or African American, 6.3% Unknown, 4.3% Hispanic or Latino, 15.5% Asian, 6.4% White, 67.0% American Indian and Alaska Native, 0.5% |
| LGBT Percentage | 10% | 10% |