[November 30, 2019] Most startups are not going to be successful. Around 50% of businesses fail within the first five years of their inception. First-time entrepreneurs have an 18% chance of success. For a startup to succeed, several factors need to be just right. Having an exceptional leader is one of them.
Leadership plays a crucial role in a startup’s success. It is difficult to think of a successful startup that does not have a remarkable leader. Steve Jobs, Mark Zuckerberg, Elon Musk, Bill Gates, to name a few, are leaders that have led their businesses to heights that seemed previously impossible to reach.
Here is how leadership plays a crucial role in a startup’s success:
- Leaders make decisions.
Businesses rely on leaders to make critical decisions. Without a leader, an organization would try to move in multiple directions at the same time, resulting in the organization splitting into different factions.
A leader that makes the right decision under pressure is a vital asset for a startup. Any decision that a leader takes should be aligned with the company’s core values and visions. Steering away from the company vision could bring the company to ruins.
- Leaders are responsible for the entire team.
If the business is successful, it’s the result of everyone’s combined efforts. But if the business experience even a little bit of turbulence, the leader is responsible.
Leaders need to assume responsibility for the actions of their teams. For startups to be successful, each team member should be actively contributing to the success of the business. For instance, take life chat app agents example if leader is the hardest working person then whole team would ultimately come to the same page. If an idea goes south, the team should be confident that their leader would step up for them and make things great again.
A leader is also responsible for the personal and professional growth of his teammates. An exceptional leader is always looking for opportunities that would challenge his team and help them develop essential skills that will help them later in their careers.
- Leaders define the culture of an organization.
The culture of an organization is something that is bound to change over time and with the addition of new employees. An organization that has a robust culture can get through difficult situations with relative ease. Organizations that have a weak culture often struggle to meet deadlines and find it difficult to retain employees. Leaders set the culture for an organization. Employees and staff look up to their managers and leaders for guidance and wisdom.
Businesses that ignore the importance of leadership are setting themselves up for failure. Startups need special care and attention, especially in their initial stages. Leaders need to nurture their startups from day one. Leadership is something that comes naturally to many, but it is also a skill that can be learned over time and with consistent effort and dedication.