What is a “solopreneur”? A solopreneur business means “a single-person business”, lean and mean, with no employees. You can start and run a solopreneur business on a shoestring budget, and then take all the money you earn as profit for yourself. If you’re planning to become a solopreneur – or are already one – it’s but natural you’ll want to revisit all the nuanaces of the solopreneur business to see you’ve missed nothing. Our FAQ article here will help.
- What is a solopreneur? What is the real meaning of solopreneur?
- Is solopreneur a real word? What is its origin?
- How do you pronounce and spell solopreneur?
- Is there another word for solopreneur? Any synonyms or antonyms?
- What are some key solopreneur statistics?
- What are the key characteristics of solopreneurs?
- What myths on solopreneurship have to be blown away?
- How many solopreneurs are there?
- How many types of solopreneurs are there?
- How are solopreneurs different from entrepreneurs, the self-employed, or freelancers?
- Where is the market for solopreneurs growing?
- What ideas are gaining among solopreneurs?
- What ideal skills and mindset does a solopreneur need?
- How much does it cost to start a solopreneur business?
- Can you get venture capital, funding and loans for solopreneur businesses?
- Can solopreneurs get PPP (Paycheck Protection Programme)?
- How do most solopreneurs make money?
- What are some great examples of solopreneur millionaires?
VIDEO: Arman Assadi’s words on “When Is The Right Time To Quit Your Job And Become A Solopreneur?” (Must watch: 8:21 minutes)
This is a really thought-provoking video. Arman Assadi tells you about the “tipping scale” strategy, to find out what the right benchmarks are for having a successful idea. You can everage that to then quit your job, and start a solopreneur business.
1. What is a solopreneur? What is the real meaning of solopreneur?
A “solopreneur” is best defined as an entrepreneur – a business owner – who is the sole person in his business. He is both the Owner/CEO and the Chief Bottle Washer of his company. In other words, he’s the boss and the lone worker. No one else works in his business.
If you too own a business, and wear all the hats that other people would have, if you had hired them, you too are a solopreneur. You must know enough to do all the jobs your business requires, and you must prefer to do it all yourself, without any other employees. With that mindset, you could call yourself a solopreneur.
The Merriam-Webster Dictionary describes “solopreneur” as “one who organizes, manages, and assumes the risks of a business or enterprise without the help of a partner: a solo entrepreneur”.
This definition seems to suggest that a solopreneur works alone as the boss without a partner in the business. But the real meaning of solopreneur, as it understood by the world in general now, is that a solopreneur prefers neither a partner nor even an employee in his business.
Notice here, that a solopreneur may prefer not to hire employees … but that does not mean he won’t hire freelancers, contractors, or consultants, from time to time, for certain projects he can’t handle. He just prefers not to have anyone on his payroll.
2. Is solopreneur a real word? What is its origin?
The word “solopreneur” is a real word. It now regularly finds a place in the world’s best dictionaries. It’s a coined word created from a combination of the word “solo” (meaning alone) and “preneur” (pinched from the tail-end of the word “entrepreneur” meaning businessperson).
The Macmillan Dictionary gives us a bit more of the context of the possible origin of the word “solopreneur”. It says:
“The term solopreneur is of course a blend of the adjective solo meaning ‘done by one person alone’ and the noun entrepreneur, which refers to someone who starts their own business and is good at spotting and securing the best business opportunities. The word solopreneur first began to appear in 2010, gaining ground partly by websites dedicated to the concept and by its use in social media (e.g. as a Twitter hashtag).”
3. How do you pronounce and spell solopreneur?
Listen to the audio file below for a clear pronunciation of the word “solopreneur”.
The right spelling of spelling of “solopreneur” is the way we’ve spelt it here. Typical misspellings we’ve come across are “solo-preneur” (never hyphenate the word), “solo preneur” (not to be used as two separate words), “solopreneure”, “soloprenure”, or “soloprenner”.
4. Is there another word for solopreneur? Any synonyms or antonyms?
The nearest we’ve ever come to a word as close to solopreneur as possible is from Dan Tully, a freelancer from Australia, who refers to himself as “lonepreneur”.
We’ve never come across any other synonym for solopreneur. Or an antonym either. Not in any Thesaurus. At best, people refer to “businessman” or “businesswoman” in the singular, but even that doesn’t suggest the person is the only person in his or her business.
5. What are some key solopreneur statistics?
Elaine Pofeldt wrote a seminal book in 2018 titled “The Million Dollar One Person Business”. Her research into leading business trend reports at the time were strongly pointing to a surge in interest in “solopreneurship”. The only issue was that the word “solopreneurship” had not yet taken root, and so different leading reports were identifying solopreneur businesses by names like “non-employer firms” or “independent workers” or the “gig economy”.
Here are some interesting numbers on solopreneur businesses that Elaine Pofeldt gathered from various reports:
- According to the US Census Bureau, in 2015 there were 35,584 “nonemployer firms” (those that do not employ anyone other than the owners) that brought in $1 million to $2,499,999 in annual revenue. Of these, about 2,090 businesses earned between $2.5 million to $4.99 million, and 355 businesses brought in $5 million or more. Interestingly, there were very large numbers of smaller firms within hitting distance of the $1 million mark.
- 258,148 firms brought in $500,000 to $999,999.
- 584,586 generated $250,000 to $499,999 in revenue.
- 1,861,656 businesses brought in $100,000 to $249,999.
- The State of Independence in America 2017 report by MBO Partners counted 16.2 million full-time “independent workers” in the United States. A substantial 3.2 million people among them earned more than $100,000 in 2017, up 4.9% from 2016 alone. MBO Partners predicted that by 2022 the number would hit 47.6 million. That would account for nearly 38% of all workers.
- The U.S. Small Business Administration GEM’s Women’s Entrepreneurship Report found that across the globe, solopreneur women formed 37.6% of all entrepreneurial activity, while male solopreneurs formed 27.8% of the total. However, in Noth America, male solopreneurs added up to 32% of total entrepreneurial activity, compared to women, who accounted for nearly 29%. Generally speaking, the richer the country, the more male solopreneurs influenced total entrepreneurial activity.
6. What are the key characteristics of solopreneurs?
From my own experience as a solopreneur, I’d count 10 characteristics that predominate in solopreneurs:
- A solopreneur business is a single-person business. Not just one where there is only one owner, but that business owner is also the lone employee in that business.
- What attracts a person to become an online solopreneur is the potential to startup and run such a business, for a very long time, on nothing more than a shoestring budget.
- The owner may be an expert at some field that he builds the business around. But he also runs all parts of the business himself, wearing all the many hats that other people may have worn, if he had hired them.
- He does all the functions – the accounts, the marketing, the sales, the content creation for products and services, the eCommerce, and the customer management.
- He makes the goals, sets the rules and values of the business, and decides its business model and growth plan.
- He also decides how formal or informal his workplace should be. Where he works from and what he wears to work are entirely up to his mood.
- He is the epitome of the laptop-lifestyle (nowadays it may also be the mobile-and-tablet lifestyle). His gadgets are his workplace, really, so his work can travel with him.
- He believes in the idea that everybody’s work-life balance should be healthy. He likes to have independence and freedom to succeed in business, in his own way. He decides what success means to him.
- In order to be his own boss, though, he knows he has to be disciplined enough personally, to be productive. So he learns to manage time, money, and effort professionally.
- If he uses all the automation and technology available to him, and doesn’t hire people, he can be highly profitable. Many solopreneurs make between 85%-95% profit.
7. What myths on solopreneurship have to be blown away?
Despite the spectacular rise of the “solopreneurs” as important players in any market, there are three myths that still make people (including some solopreneurs themselves) see their businesses as “small businesses”. Here are the myths that need to be blown away:
Myth 1: A solopreneur business is small. It can’t match the brand eminence of a large company.
Truth: This myth comes from the popular perception that all solopreneur businesses are owned either by “mompreneurs” or “homepreneurs” or “self-designated-presidents”. If solopreneurs think of themselves in such self-limiting ways, that is all they would ever be. Any solopreneur can be as big a brand as his or her biggest dreams will allow. There are tons of multi-millionaire solopreneurs out there now who’ve broken the glass ceilings, and are challenging large, lumbering companies by being lean and mean.
Myth 2: When a solopreneur business grows, it will become a huge company and employ many.
Truth: The aim of starting as a solopreneur business is not always to grow sideways and large with time. In fact, if you’ve tasted the satisfaction of going solo and working on your own terms, you can eternally have nobody to answer to, and still, make millions and billions. Why would you trade it all in to acquire more “assets” that feel like millstones around your neck? A solopreneur can – and perhaps should – aim to grow narrow and tall, and not spread wide, to really succeed.
Myth 3: All solopreneurs are essentially introverts, and extroverts will hate the solopreneur life.
Truth: We have all got to get rid of the old definitions of introversion and extroversion. Introverts are just those who have more energy for work when they are alone, versus extroverts who have more energy when they work along with others. It’s about energy levels, and no inhibitions. There are really no pure introverts or extroverts. Everybody will succeed with their own formula. Quiet entrepreneurs will impress some customers, while loud entrepreneurs will impress other customers. There are enough customers to go around, for all of us in business.
8. How many solopreneurs are there?
At the last count (around beginning 2019), most experts believed there were already 41.8 million people who identified themselves as a one-person company, and they contributed over $1.3 trillion to the United States economy. This was the figure given by the MBO Partners State of Independence Report then.
The same report for 2020 now says that after a small dip in 2020 (after Covid-19) to 38.2 million, we could be looking ahead five years to 2025, when numbers will rise to 45.6 million.
9. How many types of solopreneurs are there?
There are so many solopreneurs in business now, that we have different types of solopreneurs. Your skills, motivations and preferences will dictate which broad type you belong to … here are some of 21 of them:
- CausePreneurs – the ones motivated by a social cause to become solopreneur-evangelists.
- RetiredPreneurs – the older generation that’s still ready for more life via a solo business.
- StudentPreneurs – those college-going millennnials who’ve turned solopreneurs.
- DadPreneurs – fathers who may be juggling parenting and solopreneuring simultaneously.
- HomePreneurs – those enamored of a home-office and a cozy-pajamas workstyle.
- GigPreneurs – all those freelancers who have made mini-brands of themselves.
- SidePreneurs – those with jobs, who burn the midnight oil on a side solo business.
- AuthorPreneurs – those who write one book after another, and keep track of royalties.
- MomPreneurs – mothers of small kids who need to earn while managing their brood.
- ProPreneurs – erstwhile professionals of all sorts who have chucked their jobs to go solo.
- TravelPreneurs – those who write on travel from their hammocks on distant beaches.
- InfoPreneurs – people who convert their own knowledge into info products.
- TeacherPreneurs – those people who know how to teach anything they know to others.
- EcoPreneurs – those who sell green products and services with personal conviction.
- HealthPreneurs – includes doctorpreneurs, fitnesspreneurs, yogapreneurs and their ilk.
- CoPreneurs – those who tie up with other solopreneurs for reciprocal services.
- SerialPreneurs – those who create and sell solo businesses, one after another.
- BlogPreneurs – those who make blogging their main source of earning.
- KidPreneurs – those genius kids that start solo online businesses.
- Multipreneurs – those who run multiple solo businesses at once.
- Wantrepreneurs – the ones who want to start solo, but can never take that first step.
10. How are solopreneurs different from entrepreneurs, the self-employed, or freelancers?
Increasingly, the lines are blurring between these categories of people. The representation of yourself as “a person who does work for others” is always less powerful-sounding than projecting yourself as a “solopreneur” – a businessperson. Therefore, more self-employed professionals and freelancers are calling themselves “solopreneurs”, believing that they are better respected by clients for their weight and authority, and are also better paid.
That said, here are the differences:
a. Solopreneurs vs entrepreneurs?
While solopreneurs prefer to be both owners and the lone workers in their businesses, entrepreneurs are open to being the owners and hiring employees into their businesses. Other differences include these:
- Solopreneurs are probably workers who may have become bosses of their businesses. They are entirely comfortable doing their work and learning the skills of management. Whereas, entrepreneurs are essentially managers who prefer getting work done by others.
- A solopreneur may be more attached to a business, where his own name is the brand name, and may not be looking for a buyout. An entrepreneur may be open to the sale of his business at some point.
- A solopreneur’s workplace is often his laptop, tablet, or mobile. He can work from home, from the park bench, or at a cafe table. An entrepreneur may be more particular that his business must have a “proper” address.
- The form of business that a solopreneur chooses may often just be a solo-proprietorship by default. He may not even give it much thought. An entrepreneur may think through this choice more carefully, especially if he’s looking for scalability, size, partners, risk management, and venture funding, down the line.
b. Solopreneurs vs self-employed?
The main difference between solopreneurs and the self-employed is this: a lot of professionals (for instance, like chartered accountants, lawyers, or eco-engineers) may count themselves as self-employed if they see themselves as “independent people” working for clients … but they would describe themselves more as solopreneurs if they see themselves as “business people” than as “independent self-employed professionals”. The distinction is more in their minds on whether they project themselves as professionals or as a business.
c. Solopreneurs vs freelancers?
The main difference between solopreneurs and freelancers (or gig-workers) is this: as with the self-employed, “gig workers” or “freelancers” too may see themselves as “people” doing project work for others, than as “businesspeople”.
Notice here, that the main difference between a “freelancer” and a “self-employed professional” is in the type of work done. While freelancers typically do “project work” to briefs given by clients, the self-employed professional may be a person of greater subject authority, and may well advise clients as well as and help with project tasks.
11. Where is the market for solopreneurs growing?
Again, according to Elaine Pofeldt, solopreneur businesses that hit the million-dollar range typically fall into six categories:
- Informational content creation
- Professional services and creative businesses, such as marketing firms, public speaking businesses, and consultancies
- Personal services firms, offering expertise such as fitness coaching
- Real estate
12. What ideas are gaining among solopreneurs?
Solopreneurs are not yet as closely bound as some other groups of entrepreneurs, because many of them belong to different niches. But three trends are visible in the evolution of solopreneurs:
- Solopreneurs are budgeting and planning more efficiently for outsource recruitment. On content marketing (especially blogging), previously the choice to outsource used to be the result of on-the-fly, ill-planned, or scrambled decision-making. It’s no longer so.
- A lot of solopreneurs are buying a lot of project management and automation tools. There is a palpable need now to streamline workflows and bring discipline into their models of work.
- There is a growing reciprocity between solopreneurs who can mutually help with each other’s businesses. Friendships are made on social media, where skill-exchanges take place, formally or informally.
However, all this is still nascent, and a formal structure of “solopreneur-help-solopreneur” is not yet there. This is where we hope our site will step in as the a common learning, bonding, sharing space, and as a alliance for mutual gain.
13. What ideal skills and mindset does a solopreneur need?
As a solopreneur, the skills you may need to master are many. You would need elementary practical skills in things like writing, photo editing, sound recording, coding, data management – and the knowledge of how to work with WordPress.
But beyond such basics, for which there are plenty of books or outsourced help, there are also some soft skills no one talks about that are crucial:
- You need the intelligence to handle, read and understand research.
- You need the grit to be able to create volumes of content.
- You need the versatility to handle all kinds of multimedia content.
- You need the smarts to attract and sustain traffic to your site.
- You need the planning to convert customers using automation.
- You need the empathy to handle email for customer nurturing.
- You need the confidence to build presence on the social media.
- You need the speed to catch trends at inception for traction.
- You need the energy to be a lifelong learner and networker.
From my own experience as a solopreneur, I can vouch for three absolute must-haves in your mindset. If you build your mental muscles for these, success is a given. So here are the big three:
a. You must cultivate patience, persistence, and determination to succeed.
Only 5% of all startups live beyond the first year to see success. The other 95% fall by the wayside because their owners begin business with unrealistic expectations. Success takes its own time in any online business. It’s like a Chinese bamboo tree that doesn’t break through the ground for five years. After five years, once it breaks through the ground, it will grow 90 feet tall in five weeks! That how business takes off. But will you wait that long on nothing but hope and stick-to-itiveness?
b. You must believe in “growth hacking” as the way to success.
“Growth hacking” is about finding outside-the-box marketing strategies to get the maximum number of customers with minimal spending. Growth hackers think up non-traditional and innovative marketing techniques since tight budgets prevent traditional practices. Growth hackers experiment, test, and are always pushing limits – with a single-mindedness and desperation to keep growing, no matter what the means.
c. Your branding must be both firm and flexible, which needs dexterity.
The secret to great branding is to maintain your brand’s values and concepts with coherence and consistency over the long term, but be flexible on how you interpret your brand for tactical purposes in the short term. When a competitor challenges you, or the market trends change, how will your brand remain true to its values and yet respond to the immediate challenges flexibly? You need to know how to adapt your brand to market exigencies, without losing its core.
14. How much does it cost to start a solopreneur business?
According to the U.S. Small Business Administration, most microbusinesses cost around $3,000 to start. But I think this is a load of rubbish, because when I started out as a solopreneur I spent barely anything at all.
To start this business of ours, for Solohacks Academy, which you are reading now, this chart below shows exactly what we budgeted and spent to start up, and we ran on this allocation for nearly two years.
It was only when we started seeing some money did we allow ourselves to slightly (very slightly) escalate our costs with a extra tools and plugins. If you are ready for frugality, you can get really far (as we did). In fact, even now our benchmark is to keep costs always at less than 10% of earnings – so we get at least 90% profit.
15. Can you get venture capital, funding and loans for solopreneur businesses?
This is a bit of a tricky issue, but happily most solopreneur businesses online hardly need any serious funding at all. They can start with near zero-costs, as we said before, if they plan to do all the work themselves without expensive outsourcing.
Sramana Mitra, Founder, CEO of the 1My1M global virtual accelerator, has this advice for solopreneur startups:
“You don’t need a full executive team for seed funding. However, solo entrepreneurs typically have difficulty in raising seed funding. Investors prefer at least one co-founder.
This is a slightly complex issue, because if you are a solo founder bootstrapping, you should put all your energy into trying to get to product-market fit, and getting to paying customers. Not on trying to artificially fill a co-founder position.
The way to mitigate this is by getting your startup to traction where you have paying customers and a clear path to high velocity customer acquisition as a solo founder. If those metrics are in place, you can raise money without a co-founder.”
16. Can solopreneurs get PPP (Paycheck Protection Programme)?
According the Moneycrashers.com guide on PPP, solopreneurs are eligible for payceck protection. Here”s what they say:
“Through the PPP, the CARES Act authorizes the SBAmall Business Administration (SBA) to disburse up to $659 billion in low-interest loans to small businesses, self-employed individuals and solopreneurs, and qualifying nonprofit organizations.
Millions of small-business owners, self-employed individuals and solopreneurs, and nonprofit organizations are eligible to apply for PPP loans. And the PPP application process itself is more straightforward and less bureaucratic than a typical SBA loan application, which is good news for cash-strapped borrowers hoping to expedite their applications.”
17. How do most solopreneurs make money?
Dorie Clark, in her seminal book “Entrepreneurial You”, shows the three step way most solopreneurs make money online:
- The first step involves building trust. You need to build trust with clients, with the larger target audience, and with the community. This is achieved by creating content and sharing it with people generously. For example, by blogging, or giving speeches, or through social media. The objective is to get people to notice that you are a person with some really great ideas.
- The second part involves deeper engagement.. Most solopreneurs at this stage get into one-on-one, deep-dive coaching, consulting, or mentoring. You can make good money, even become a six-figure coach or consultant. But the problem is that this kind of earning model is hard to scale. You are always trading time for dollars.
- The third part involves productizing your expertise. By doing so, you can grow into six-, seven-, even eight-figure solopreneurs. You take your knowledge and convert it into digital info products, run masterminds and webinars, start membership communities, or start a podcast. Some solopreneurs with tightly-knit loyal audiences can also become micro, medium or even large influencers. There’s a whole smorgasbord of options at this stage.
18. What are some great examples of solopreneur millionaires?
There are so many inspiring stories of solopreneurs that it’s hard to choose just a few exemplary ones. I’ve picked a business coach, a website builder and a seller of energy supplements … all now multi-million dollar solopreneurs. Read their stories and see how it doesn’t matter what your business is about, it’s the attitude and mindset that makes the millions.
MARIE FORLEO: Business and Life Coach for “Multi-Passionate Entrepreneurs”
Let’s start with what matters. Marie Forleo is a solopreneur valued at approximately $14 million. Among her cheerleaders are Oprah Winfrey, Richard Branson, and Tony Robbins. Who is she and what makes her tick?
Here’s what she says:
“I was a born-and-raised Jersey girl with nothing more than passion, a laptop and a dream. For as long as I can remember, I’ve been insatiably curious about human potential. I wanted to know, what exactly is it that makes people genuinely happy, successful, and creatively fulfilled? Why do some people struggle while others find a way to thrive, often despite the most challenging circumstances?
I was also passionate about a multitude of seemingly unconnected things: writing, hip-hop, psychology, entrepreneurship, creativity, spirituality, fitness, and philanthropy, just to name a few.
After several failed attempts at corporate jobs and a lot of angst trying to choose just one thing to be in life, I realized that my unusual combination of interests and skills was a strength, not a liability. I gave up the security of the 9-5, began bartending and waiting tables, and doing a multitude of odd jobs to keep a roof over my head while slowly building a coaching business from the ground up.
I later coined the term “Multipassionate Entrepreneur” because I didn’t (and never will) fit into a conventional box.”
And that’s how she began a business-and-life coaching business that is built around the idea that “you must bring your whole self to the table if you want to thrive in today’s world.”
What do you think is the secret sauce Maria has used to magnetize such kudos and millions? I think it’s the sheer differential that her own personality has (as a multi-passionate person) that she has converted into a business. The moral of the story? There are no two like you, so if you become aware of your own uniqueness, don’t wait to encash!
TIM SEIDLER: Building Websites That Help People “Get Niche Quick”
Tim Seidler is one of the best examples of a side-gigger web-designer who made his side-gig his full-time business, and started making his millions. His inflection point came when he was working on his 8-to-5 day job, and he realized his side-gig was making more money than his real job. Who is he and what makes him tick?
Here’s what he has to say:
“Part design wizard, part code hacker, part entrepreneurial wannabe, I called it quits at my full-time gig and decided to take this show on the road.
Going solo for the first time in my life along with my two amazing kids I’ve truly learned the meaning of work-life balance. Building websites has given me the freedom to explore happiness in ways I never knew existed. And I have to tell you a secret … it’s really not that hard.
I was able to do this because of the success I’ve found online. Now I spend my “work days” at Starbucks while jamming to my favorite songs and sipping on my favorite caffeinated beverage (Venti No-Whip Mocha). These are usually 4-6 hour stretches a few times a week that serve more as self-indulgence and preservation than what one would classify as actual work.
In between “working”, I have the luxury of being able to do the simple things that seemed difficult while at my 8 to 5 salaried job. These things include getting my oil changed, picking my son up from preschool, and calling to complain about my health care coverage (don’t get me started).”
I picked Tim as a great millionaire-solopreneur example, because his description of his work-life balance is wonderfully inspiring. Not only is he making millions on his business now, but he seems to have the full life all solopreneurs dream of.
What do you think is the secret sauce that Tim has discovered on his way to wealth? I think it’s that calculated leap he took from a salaried career to a full-time solopreneur business, after a period of trial with a side-gig. He knew there was demand for his talents, and he had honed his ability to handle client relationships. All that was needed was to commit to a model that was clearly working – and to scale it!
JUSTIN GOFF: Owner of the Patriot Health Alliance Of Energy Supplements
At age 27, Justin Goff tried writing an ebook. He burnt $100 a day writing Facebook Ads that were duds. But as his wallet got thinner, failure no longer was an option. From the ashes of that start he built a million-dollar solo business. Who is he and what makes him tick?
Here’s what Spencer Haws, the Internet guru, says about Justin:
“By carefully studying the results of the ads he was placing, he quickly learned how to write effective Facebook based advertisements. From there, Goff went solo and started a new business. He started the Patriot Health Alliance which sells energy supplements.
Justin was able to use the same marketing tactics from his previous company to build this new one up to make millions in revenue. This guy was almost out of options. Even when he was losing money, he managed to start a very profitable business.
By utilizing social media and constantly analyzing which ads were effective and which ones were not Justin learn how to communicate the value of his product to potential clients.
The skills he learned on his first business venture allowed him to create a new very profitable business, this time completely on his own.”
Justin Goff’s story doesn’t end there. He has since sold his $23 million revenue energy supplements business, to start teaching marketing. He sounds unstoppable!
What do you think is the secret sauce that helped Justin convert failure into millions? I think he was so convinced that Facebook Ads would work, that he used his early failures as a way to figure out what he was doing wrong and how he should change his approach. The moral of the story? You don’t need many marketing approaches. You need just one, but you have to work at it it till it works for you – every time!
So What Are Your Thoughts? Do Share!
This post is incomplete without your input. The community of solopreneurs would feel galvanized to hear from you … so do share your thoughts on this topic with us, in the comments field below this post.
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