Character and Entrepreneurial leadership

"What you do speaks so loudly, I can't hear what you're saying”.

Ralph Waldo Emerson

It was the Greek philosopher, Heraclitus that is attributed to the quote “Character is destiny”. What this quote implies is that destiny does not come from outside forces but by one’s own inner character. According to Wikipedia, Heraclitus is also famous for his insistence that “ever-present change as being the fundamental essence of the universe”. Applied to entrepreneurship, I would modify that quote to say “ever-present change as being the fundamental essence of a start-up”. Thus, the choices you make in the face of change is the biggest determinate of entrepreneurial success. And how do you make good choices? Character.

The character of a startup will reflect the character of its leader. My definition of character is this: It is the knowledge and fortitude that enables one to make informed, responsible and moral choices. If a startup is going to succeed in the long run, its leaders must make honest, responsible and moral choices. This includes dealings with customers, employees, partners, and investors. Honorable leaders will gain trust and respect from customers and loyalty from workers. This, in turn, will be reflected in partners and investors.

The worst thing that can happen to your business is to build it on deception. There is a fine line between optimism and deception but many startup leaders have crossed it. Deception starts by deceiving yourself first and then permeates to your organization. Deception is what causes most businesses to fail. It might fail early or it might fail spectacularly as a much larger company after millions or billions of dollars have been spent, but it or you will fail. In the end, you will have wasted years of your life, lost friends and family and destroyed your reputation. The most important thing is to build a company where you and your team take responsibility and make honest, well informed, moral choices.

I think it is important to ponder how to make the right choices in your business. Success is not about the flashiest presentation, the best-looking office or the financial model. It is about getting results. Results come from the choices that matter when you build your business: How to hire employees to build a strong culture; how to make realistic assumptions that drive your business; how to be honest with employees without scaring them; how to have an honest relationship with customers. There are no right answers, but I believe this is where you should spend your time reading and thinking and practicing. It will help you grow into the leader you need to become to take your startup to levels you never dreamed possible.