Not true at all. There is a million ways to run your business. You don't need to make a corporate drone system for yourself. Businesses are a very efficient grouping system for creating cool things.
Discussion
Not from a tax and regulation perspective
Sure, many ways. Most of them are terrible. Some are ok for small business. Largely speaking, if you don't fight against the status quo, the business is fine, but try getting out of it just to see what the system can do to you. Small business are ok. But I don't consider them to be on the "want to make money category". Most small business never make anything beyond living expenses.
