How Leadership Plays a Crucial Role in Startup Businesses Success

By | November 30, 2019

[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:

  1. 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.

  1. 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.

  1. 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.

Author: Hamzah Adil

Hamzah Adil is a content writer who loves to write about business. He also enjoys reading and learning about social media, marketing and viral trends. He is currently associated with an IT startup that has developed a live chat application called SwiftChat. Live chat softwares provide visitors with the ability to get quality customer service when they need it.

12 thoughts on “How Leadership Plays a Crucial Role in Startup Businesses Success

  1. Tom Bushmaster

    Your number 3 is spot-on. “Leaders define the culture of an organization.” A major truth that is often overlooked. Results matter.

    1. Hamzah Adil

      Whenever you define the culture you always have to come from upward to downward. The best strategy is to reward early adopters of change.

  2. Forrest Gump

    Hamzah, well written and thoughtful. Quote “An organization that has a robust culture can get through difficult situations with relative ease. ” By robust I believe you mean ‘strong’ and ‘focused.’ If so, then yes, any organization or group can move through the most difficult of times. But not always with ease.

    1. Hamzah Adil

      Culture helps in replacing the organization’s red tape without enforcement. It is a big strength when your operations become streamlined automatically.

  3. JT Patterson

    Excellent article. I will also point out that what you have written is true beyond businesses. This is what leadership is all about.

    1. Linux Man

      Yes, in the family, community, any group, state, religion, nation. It matters across all forms of human interaction.

    2. Deplorable John

      Hi JT. Well said. I also think this is an article worthy of our reading and commenting. It’s basic leadership 101. Keep up the great works.

      1. Valkerie

        Welcome to General Satterfield and his leadership blog. Haven’t seen you here before, DJ. Thanks for posting and please do so often on areas of your interest.

  4. Nick Lighthouse

    Mr. Adil, thank you for reinforcing the idea that leadership plays a crucial role in the start u;p of a business. Many folks think it’s just a simple matter of some technical things strung together and pow, it works. Not so. Thank you again for publishing this in the leadership blog of General Satterfield. 👍

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