Among the top most positions at any corporate organization are two that often cause confusion about their individual roles and responsibilities. These are the CEO and the owner.

The difference is often (not always) due to the size of the company. While most large companies will have a CEO who is the highest-level executive in charge, smaller companies are usually run by an owner. The CEO is in charge of the overall management of the company, while the owner has sole proprietorship of the company. It is possible that the CEO of a company is also the owner, but the owner of a company doesn’t necessarily have to also be the CEO.

The two have many differences as well as many similarities. First let us understand the two roles.The owner on the other hand does not have a specific role. Their role changes depending on the company and the needs of their company. An ‘owner’ is someone who owns 100% percent of the company. While, a ‘co-owner’ owns part of a company along with a partner or multiple partners. The owner has the right to do as they wish with their company and is often also the founder of the company.The owner or sole proprietor owns their business as well as their financial resources for the business. Ownership in legal terms is someone who has almost all or all of the company’s shares in their name. A CEO, on the other hand, is a title that has nothing to do with ownership and more to do with function. And while a CEO is entitled to a salary from the company, an owner doesn’t make a salary, rather is entitled to the profits made by the company.

The owner is intrinsic or inherent in their role unlike the CEO. But if the company is sold in its entirety, then the owner will change. The owner’s role is separate from the corporate hierarchy and is under no obligation to report to anyone. If they also hold the role of a C-suite position then they function accordingly but also function autonomously for the most part.

With no particular functional role, this is something that is reliant on individual companies and owners. The owner of a company might delegate as the company grows, but they still might control some of the different functions of the business. For example, they might not entirely give up their control of the company’s finances. But a CEO has no control over their company’s finances or marketing. Rather, they work with the CFO or CMO to ensure those aspects of the company are flourishing.

With no particular functional role, this is something that is reliant on individual companies and owners. The owner of a company might delegate as the company grows, but they still might control some of the different functions of the business. For example, they might not entirely give up their control of the company’s finances. But a CEO has no control over their company’s finances or marketing. Rather, they work with the CFO or CMO to ensure those aspects of the company are flourishing.