I've always heard "Lifestyle Business" as a contrast to a "Startup." Startups being, huge growth, VCs, and an "exit." Lifestyle business being more like a traditional business, slow growth, minimal outside investment, etc. This article paints it more of a digital nomad, which I haven't seen much of.
The difference between running a lifestyle business and just "median American lifestyle" is owning the business (although, effectively you are living a median American lifestyle). I've always likened it to building a successful contracting business, car dealership, or chain of donut shops. Ideally letting you live upper-middle class, fairly steady (businesses rarely are long-term), and possibly something you could sell off when you retire.
The difference between running a lifestyle business and just "median American lifestyle" is owning the business (although, effectively you are living a median American lifestyle). I've always likened it to building a successful contracting business, car dealership, or chain of donut shops. Ideally letting you live upper-middle class, fairly steady (businesses rarely are long-term), and possibly something you could sell off when you retire.