[mikeocool]

Generally I think lifestyle business means a business that is going to make the owners a comfortable living but not likely to make anyone filthy-rich.

In silicon valley/tech it's sometimes treated as a derogatory term.

[dragonwriter]

In finance and VC-funded -startup worshipping circles it is derogatory, because it means you aren't trying to scale like a VC-funded-startup.

That space is often confused with “tech”, and obviously overlaps with it, but its not the same thing.