In recent years, the role of a start-up CEO has transformed from being a largely unknown and somewhat geeky profession, to one with a superstar status. Think of the likes of Mark Zuckerberg, Elon Musk, Jeff Bezos, Bill Gates etc. Building a company and being an entrepreneur has become sexy, glamorous, and importantly, a significant driver of innovation and economic growth. But what does it really take to be a start-up CEO and why is it so hard?

The Role of a Start-up CEO

Starting a company is akin to beginning with a blank canvas. It’s often chaotic, with numerous options and directions available, making it a challenging endeavour. One of the primary responsibilities of a start-up CEO is to set the company’s vision and mission. Articulating the company’s purpose clearly and ensuring that all employees are aligned with its goals and values is crucial for maintaining focus and driving towards a common objective.

Essential Traits of a Start-up CEO

To thrive in this demanding role, a start-up CEO must exhibit a unique blend of traits and skills:  Resilience, excellent communication skills, the ability to sell, visionary thinking and the ability to create trust are paramount as a start. They may also have to wear many different hats simultaneously, acting as a recruiter, dealmaker, firefighter, strategist, salesperson, leader, and decision-maker.

In my experience as an investor, I have had the privilege of working with 100s of world-class CEOs – each with a diverse skill set. Here are some examples of entrepreneurs I have worked with, each with a unique blend of skills, with the core highlighted:

Virraj Jatania (Pockit): Super resilient

Sujay Tyle (Merama): Natural ability to sell

Peter Lindholm (Unaric): Mature, in total control, yet still hungry

Jesse Hemson-Struthers (BVNK): Visionary with world-class execution skills

Jannik Fritz (Goya): Resourceful and born to be an entrepreneur

The Importance of Selling

Selling is a crucial skill that is often overlooked, especially important in a start-ups where resources are limited and budgets are tight. A start-up CEO must be adept at selling to multiple stakeholders:

• Customers: Introducing the product to the market for validation and scaling
• Employees: Convincing top talent to join the start-up company despite competition from larger firms with better pay
• Investors: Securing funding and additional support

The Multifaceted Role of a CEO

Being a CEO is not for everyone. It involves myriad tasks but perhaps the hardest part of the job is having the leadership skills to balance visionary thinking and communication with operational execution. Another key aspect of a CEO’s role is team management. A CEO needs to be focused on recruiting the best team for today, whilst preparing them for the challenges of tomorrow. Reskilling, retooling, and readiness are critical for future success. So too, is fostering a creative and dynamic team culture, that encourages the exchange of views to drive innovation and creativity.

From Product to Company to AI

Creating a product is one milestone, but building a company around it is another challenge altogether. Balancing product development with go-to-market strategies and marketing is crucial for sustained success. Moreover, in the age of AI, the goal is to automate tasks that people don’t want to do, thereby increasing speed and efficiency and creating extra capacity. This allows humans to focus on more strategic and creative tasks.

Thus, being a start-up CEO requires a diverse skill set, sound decision-making, the ability to lead, develop partnerships and to see the big picture. It’s a role that demands daily preparation and adaptability. While some skills are inherent, others can be learned along the way. Not all CEOs or companies will succeed, but the experience, skills, and scars gained are invaluable for future ventures. Despite the challenges, the world relies on the smartest individuals to devote themselves to building companies and products that address major global issues.

In essence, being a venture-backed CEO is incredibly hard, but it is also one of the most rewarding and impactful roles one can undertake. The future depends on these trailblazers to innovate and lead the way.

Forbes article