Many people dream of becoming entrepreneurs, and often the biggest...
Letting technology do the heavy lifting for certain monotonous tasks...
Private equity deals are becoming larger and more...
Biotech startups operate in a unique financial landscape,...
February 11, 2022
Many founders also serve as their startup’s first CEO, but that doesn’t mean the roles are interchangeable or that it’s ideal for the company. Starting a company and running a business require two completely different skill sets. To answer the age-old question as to whether founders inherently make great CEOs, let’s examine how the roles differ from one another.
While the CEO runs a company already in existence, the founder is the one who came up with the idea for the business and started or launched it in the first place. They usually build the core team, establish needed resources, drive the company’s vision and seek out initial funding. They may also form a board of directors or decide what type of governing body the organization will have.
Unlike the founder, whose role focuses heavily on the early stages of a business, the CEO’s responsibilities span the life of the organization. As the firm’s senior-most executive, the CEO works to implement the company’s long-term goals, often in tandem with the founder. They oversee operations, communicate with the board of directors (to whom they answer, if there is one) and serve as the public face of the company.
Clearly, the role of founder and the role of CEO differ greatly, which reinforces the idea that they require different skill sets. While famous founder-CEOs such as Steve Jobs, Jack Dorsey and Jeff Bezos have captured public imagination as the norm, research suggests that their level of success is a relative anomaly as most founders may not make great CEOs, and vice versa.
A review of the accounts of some highly successful founder-CEOs, as well as those of similarly high-profile founders who failed as CEOs, shows certain attributes are favorable for the founder to succeed as CEO. These traits comprise:
They are good problem-solvers. This lends itself to the ability to figure out customers’ pain points and then build a business to address it. Their confidence in the solution is likely to position them as an industry thought leader.
– They succeed by finding solutions to problems nobody else has solved. To do that, they continually scan their environments to find information that could be a solution. This curiosity and willingness to learn spurs them to try new things instead of staying with the comfort of the status quo.
– They have an innate drive to win that helps them achieve their business goals. This is often represented with a demonstrated record of victory, whether it be in business, sports or other competitive endeavors.
They seek out people who are more intelligent and more skilled than they themselves are, rather than seeing such individuals as a threat. They prefer to work with people who know more than them in the interest of serving the company better.
They are not only aware of the risks facing the organization, but also prepared to remove or confront them. Because they excel at taking a forward-thinking strategic approach to threats on the horizon, they are willing to embrace innovation.
Our team is made up of seasoned professionals who bring years of industry experience to the table. You gain a trusted advisor who understands your business inside out.
Say goodbye to the hassles of hiring, training and managing in-house finance teams. You will never have to worry about unexpected leave of absence or retraining new employees.
Whether you’re a small business or a global powerhouse, our solutions scale with your needs. We eliminate inefficiencies, reduce costs and help you focus on growing your business.
Private equity deals are becoming larger and more complex, making financial preparation a critical part of the process. Take Novartis’s...
Biotech startups operate in a unique financial landscape, where securing grants, venture capital, and government funding is crucial for driving...
As the world leans into the decentralized era, Web3 startups are at the forefront, exploring the possibilities of blockchain, cryptocurrencies,...
Managing payroll can be complicated in any industry, but it becomes especially challenging in the consumer goods sector, where...
Nonprofit organizations often rely on grant funding to carry out their missions, whether that involves community development, education, healthcare, or...
In today’s hyper-connected media landscape, safeguarding intellectual property (IP) and expertly managing contracts are indispensable for success. Media companies—from traditional...
Managing your business’s finances can often feel like juggling too many tasks at once, especially when you’re trying to keep...
One of the most valuable sources of talent for startups is the pool of passive candidates—individuals who aren’t actively...
Cash flow is the lifeblood of any business, and this holds especially true for Software as a Service (SaaS) companies....