When we assess a founding team, the trait that really stands out is grit. It’s not just about working hard or having a great idea—it’s about having the tenacity to stick with it, no matter how tough things get. Angela Duckworth put it best: “Grit is living life like it’s a marathon, not a sprint.” That’s what we look for—the teams that aren’t just in it for the quick wins, but are ready to go the distance, turning every setback into a step forward. When a team has that kind of grit, I know they’ve got what it takes to weather any storm and come out stronger on the other side.
Future success is best indicated by past success AKA track record. This takes many forms: exited founder, CxO at a VC-backed scaleup, VP at a Big Tech company, ex-MBB or bulge bracket bank, or even just graduating from Ivy/MIT/Stanford. It comes down to showing past success doing hard things in highly selective and competitive environments. Of course, past performance is not indicative of future results. But in the world of VC where nothing is certain, this is as good a proxy as you can get.
Founding teams come in all sizes and shapes and previous performance is often, alas, "previous performance is not a guarantee of future results" is the phrase that any VC has to live with. Experienced venture investors look for teams that are growth-focused, numbers-driven and can not only build a product/service, but also scale their business. My favorite type of a founder is someone, who is always selling: selling to the team, to investors, to the press, to distributors, but, most importantly, to customers. As an investor and board member of several startups, which became unicorns, I recall that every unicorn founder has had this incredible knack for SELLING.
As a founder and CEO myself, the single trait I value most is discipline. My years at West Point and in Special Forces taught me that discipline separates the successful from the mediocre. Discipline to put in the work, follow the process, track metrics, and make difficilt decisions. Early on, I struggled for years to build my firm. But through discipline, I volunteered time, networked, and focused on learning my craft. When the 2008 crisis hit, that discipline ensured we were ready. We spent years building scalable processes and an elite team. Today, that discipline means tracking key metrics daily, reviewing financials weekly, and meeting quarterly to review strategy. It's not glamorous but it ensures we stay on course. For any startup, discipline builds the foundation for success. With it, you persist until opportunity meets preparation.
When founding RecurPost, one trait I found indispensable in our team was the ability to rapidly adapt to change. Startups often face unpredictable shifts in market conditions, customer needs, and even internal dynamics. The founding team’s capacity to pivot quickly without losing momentum is what truly sets the foundation for long-term success. For instance, when we initially launched, we had to quickly adjust our product strategy based on unexpected user feedback. Our team's agility in making these changes not only helped us stay relevant but also positioned us to outpace competitors who were slower to adapt. This adaptability is something I continue to look for in every new venture or team I build.
As someone with over a decade of experience helping build tech startups, the single most important trait I look for is execution. Founding teams need to be able to execute on their vision and turn ideas into reality. The ability to execute comes down to several factors: Focus. Successful teams are able to focus on the critical priorities and avoid distraction. They put in the work required to achieve key milestones. At one startup, we had to rebuild our platform to meet a tight deadline. Staying focused for 12-16 hour days is what allowed us to deliver. Problem-solving. Obstacles and roadblocks are inevitable. Top teams are able to think on their feet, troubleshoot issues, and find solutions. They don't make excuses - they get to work resolving problems. When migrating a client's site, we faced technical challenges that required innovative fixes. Persistence and out-of-the-box thinking saved the project. Adaptability. Markets and technology change quickly. Teams that can adapt to change tend to fare better. For one startup, we had to completely revamp our product to match new customer needs. Although difficult, adapting was key to growth. The ability to execute, in my experience, is the single greatest determinant of a startup's success. With focus, problem-solving skills, and adaptability, founding teams can achieve remarkable things. The startups I've seen fail lacked the execution to make their vision a reality. For new founders, developing these execution skills should be a top priority.
As a serial entrepreneur, I look for passion and vision in a founding team. The startups that succeed are the ones driven by a desire to solve a real problem, not just make money. One example was a team I advised that was obsessed with helping small local farms sell direct to consumers. Their passion for the mission led them to find innovative solutions to complex supply chain issues. That startup was eventually acquired, allowing the founders to continue pursuing their vision. I also look for diversity of thought. The best teams have a mix of skills and experiences that complement each other. For example, the co-founders of one of my portfolio companies came from engineering and design backgrounds. By combining technical and creative expertise, they were able to build a beautifully designed product that also worked. Having a mix of left and right brain thinkers leads to more thoughtful decision making. Finally, I look for hustle and scrappiness. Startups never have enough resources, so you need teams willing to do whatever it takes to make progress. One team I worked with ran growth experiments at night and on weekends because their day jobs didn't leave them enough time. They were creative and resourceful, eventually quitting their jobs to focus on the startup full-time. Hustle and scrappy innovation are hard to teach but critical for success.
As the CEO of Business Builders, the single trait I look for in a founding team is a shared purpose. Successful startups are driven by a desire to solve a real problem, not just make money. Their vision connects with custimers and motivates the team. For example, when I started my agency 21 years ago, my purpose was to build a business that gave my family freedom and flexibility. That purpose attracted clients and team members who valued work-life balance. It fueled slow, steady growth that never required outside funding or caused financial stress. The best founders can see the world through their customers’ eyes and design experiences to genuinely help them. They have empathy, passion, and determination to push through obstacles. One startup I advised was rejected by over 100 investors before finding seed funding. Their grit and perseverance made eventual success possible. Purpose and empathy are more important than expertise or experience. If a team shares a meaningful vision and cares deeply about solving customer problems, they can figure the rest out. But without purpose, a startup lacks the compass and fuel to steer challenges. Shared purpose builds longevity.As someone who has helped launch over a dozen tech startups, the single trait I look for is resilience. Founding a startup is hard and there will be many obstacles, setbacks and failures along the way. The teams that have the determination and perseverance to work through those challenges are the ones that ultimately succeed. I've seen founding teams argue and want to quit when facing product issues, key employee departures or running out of funding. The teams that stuck together, learned from their mistakes and continued moving forward are the ones that built great companies. One example is a startup I helped that had to pivot their product 4 times in the first year. Each pivot was difficult but the team was committed to making it work. Their resilience led to fast growth and eventual acquisition. The ability to fail fast, learn and adapt is key. Technologies, markets and customer needs are constantly changing. Teams that are able to adapt to change, learn new skills and pivot as needed tend to be more successful. At one startup, we had to completely change our product direction and learn a new tech stack on the fly to meet customer demands. It was difficult but led to fast growth. The ability to learn and adapt is what allows startups to survive in such a dynamic environment.
The single trait I look for in a founding team is resilience. Starting a business is full of highs and lows, and no matter how brilliant the idea is, there will always be unexpected hurdles. A team that can take those punches and get back up—stronger and more determined—is the one that will succeed. Resilience shows not just in how they handle failures but how they pivot, learn from mistakes, and stay committed to the long-term vision, no matter how rocky the path gets. I’ve seen firsthand that the most successful founders aren’t necessarily the ones with the flashiest pitches or biggest networks. They’re the ones who can weather the storm and still find ways to innovate and push forward. It’s a trait that I’ve valued in myself throughout my career and one that I always seek in others when working on new ventures.
As an entrepreneur and mentor, I highly value resilience and adaptability in founding teams. The startup journey is an unpredictable one, filled with obstacles and setbacks. Teams able to persevere, learn from failures, and pivot as needed are the ones that ultimately succeed. For example, in my first startup we initially built a solution for physicians to remotely monitor patient vitals. After 6 months of product development, we realized hospitals had little incentive to adopt our technology. We could have given up but instead chose to pivot, applying our knowledge to build a nurse call-notification system. This change led us to become a leader in that market. In another case, a startup I mentored began by offering coding bootcamps. When COVID-19 hit, they shifted their model to live-streamed virtual courses. Despite facing what seemed an impossible challenge, their ability to adapt rapidly to changing circumstances allowed them to continue serving students and even scale their operations. The most successful founders recognize that sticking stubbornly to a plan in spite of evidence is a recipe for failure. They remain flexible, open to feedback, and willing to make bold changes when needed to find a path to sustainable success. For any startup, the ability to adapt and overcome is what separates the ones that make it from the ones that don’t.
The one trait I look for most in founding teams is an ability to accept failure. Starting a company is filled with obstacles and setbacks. Successful founders view failure as a chance to learn, not a reason to quit. When Rocket was just getting started, our first major client fell through after months of work. Instead of giving up, my cofounders and I went back to the drawing board. We tried new marketing strategies and reworked our product based on customer feedback. Six months later, we landed our first long term client. Strong founding teams also have an insatiable curiosity. The best teams I've worked with are always improving and questioning assumptions. At Rocket, we constantly talk to customers and look for ways to make our product better. Our curiosity and willingness to fail have been key drivers of our success.
Adaptability is a crucial trait for founding teams in affiliate marketing, as the field is marked by rapid technological changes, evolving consumer behaviors, and shifting regulations. To succeed, teams must quickly adjust strategies and operations in response to these dynamics, navigating a diverse landscape of platforms and influencers. Embracing change enables them to remain competitive in this fast-paced environment.
As someone who has helped launch over a dozen tech startups, the single trait I look for is grit. Founding a startup is hard and there will be many obstacles, setbacks and failures along the way. The teams that have the determination and perseverance to work through those challenges are the ones that ultimately succeed. I've seen founding teams argue and want to quit when facing product issues, key employee departures or running out of funding. The teams that stuck together, learned from their mistakes and continued moving forward are the ones that built great companies. Friday Deployment Spirits is an example of that grit in action. My co-founder and I had many late nights dealing with production and distribution issues but we were determined to make it work because we believed in the vision. Another key is learning agility. Technologies, markets and customer needs are constantly changing. Teams that are able to adapt to change, learn new skills and pivot as needed tend to be more successful. At one startup, we had to completely change our product direction and learn a new tech stack on the fly to meet customer demands. It was difficult but led to fast growth. The ability to learn and adapt is what allows startups to survive in such a dynamic environment.
As the co-owner of Bonsai Builders, a successful construction company, the single most important trait I look for in a founding team is a shared commitment to excellence. At Bonsai Builders, Jason and I built the company on a vision of master craftsmanship and impeccable quality. This vision has bound our team together through numerous challenges over two decades and drives us to continually improve our skills and exceed client expectations. A willingness to accept innovation is also key. Construction can be an industry resistant to change, but staying ahead of trends has allowed us to better serve our clients. From using virtual reality to help clients envision the possibilities for their space to utilizing specialized software that improves project management, we adopt technology and new techniques that improve our capabilities. Finally, transparency and accountability have been instrumental to our success. We operate with integrity in all of our practices, from providing clear estimates and timelines to being upfront about any issues that arise. Our clients know they can trust us to get the job done, and that trust has been essential to building long-term relationships and referrals. Those three traits - a commitment to excellence, a willingness to innovate, and operating with transparency - are what have made Bonsai Builders successful and allowed us to achieve great things for our clients over the years. With the right team possessing these qualities, any startup can thrive.
A crucial quality I seek in a founding team is complementary skill sets. Each member should contribute a unique array of skills and expertise, enhancing the team's overall capabilities. A successful team should have a mix of technical, business, and leadership skills to effectively build and grow their company. Having complementary skill sets allows for a well-rounded approach to problem-solving and decision-making. Each member can bring their own perspective and contribute their strengths to different areas of the business. This also helps mitigate risks as each person can take on responsibilities in areas where they excel. In addition, having complementary skill sets within a founding team can lead to better communication and collaboration. Oftentimes, teams with similar backgrounds or skill sets can face conflicts and challenges when working together. However, when each member brings different strengths to the table, they are more likely to work in harmony and support each other's ideas. In my experience, teams with complementary skill sets have a higher chance of success as they are able to tackle various tasks and challenges effectively, leading to a well-rounded and resilient company. So, while technical skills and business acumen may be important for a founding team, having diverse skill sets that complement each other is crucial for long-term success.
As an entrepreneur who has built multiple businesses over 40+ years, the one trait I look for most in founding teams is adaptability. The ability to pivot quickly in response to challenges or changes in the market is key. At my company Altraco, we had to adapt manufacturing strategies and move production between countries/regions in response to Section 301 tariffs. Teams lacking this trait can struggle to survive major disruprions. Strong communication and conflict resolution skills are also critical. Disagreements are inevitable, but teams able to have constructive debates, consider alternative perspectives, and come to compromise will thrive. At Altraco, our team comes from diverse backgrounds but we share a commitment to open communication and finding common ground. This has enabled 40+ years of partnership. Finally, a thirst for continuous learning is essential. Technologies, regulations, and consumer behaviors are constantly evolving. Teams that stay on the cutting edge by educating themselves, participating in ongoing training, and seeking out mentors will continue to innovate and build products that meet customers' needs. The Altraco team is dedicated to continuous education to steer the complex challenges of global supply chain management.
A founding team's most vital characteristic is possessing complementary skill sets and diversity. Each member should contribute unique skills, experiences, and perspectives, enriching the team's overall dynamic. Having a diverse founding team ensures that there are different ways of thinking and problem-solving, which can be valuable for any business. Each member can bring their own expertise and knowledge from different industries or backgrounds, providing a well-rounded approach to decision-making. Moreover, having complementary skill sets allows the team to divide responsibilities effectively, optimizing efficiency and productivity. For example, one member may excel in marketing while another is skilled in finance or operations. Together, they can cover all aspects of the business and support each other in their respective areas. In my experience, I have seen that diverse teams with complementary skill sets tend to be more innovative, adaptable, and resilient in the face of challenges. This is because they are able to approach problems from multiple perspectives and come up with creative solutions. It also allows for a more balanced decision-making process, as different viewpoints are considered.
As a business consultant and entrepreneur, I always look for adaptability and openness to change in founding teams. Startups face uncertainty and obstacles at every turn, so the ability to pivot quickly based on new information or unforeseen challenges is essential. Some of the most successful companies I've worked with were willing to throw out their original plans and try something totally different. They listened to feedback, learned from mistakes, and changed direction as needed to find the right path forward. Another key trait is trust and mutual respect between co-founders. Startups always encounter difficulties that test the limits of relationships.Founding teams that genuinely appreciate each other's skills and experiences, communicate openly, and make decisions collaboratively tend to fare much better during tough times. They are able to have difficult conversations, accept criticism, and compromise when needed without damaging their partnership. Finally, I look for technical competence and domain expertise. While soft skills and tenacity are important, founding teams still need knowledge and skills relevant to their business. The most effective teams I've seen combine business savvy and technical ability, allowing them to understand their market, build a viable product, and gain credibility with stakeholders. They know what they're doing and can inspire confidence in employees, investors, and customers.
Effective communication is a crucial trait that I look for in a founding team as it can significantly impact the success of their venture. This includes both verbal and written communication skills, as well as the ability to actively listen and convey complex ideas concisely. Clear communication helps to avoid misunderstandings, improve collaboration and decision-making, and build strong relationships with investors, customers, and stakeholders. In today's fast-paced business world, where constant changes and challenges are unavoidable, having strong communication skills is essential. Founding teams with effective communicators can effectively convey their vision, goals, and strategies to their team members, aligning everyone towards a common goal. This also enables them to clearly articulate their value proposition to potential investors, customers, and partners, which can help drive growth and success for their venture. Moreover, strong communication skills also include the ability to handle conflicts and provide constructive feedback. These are essential qualities for a founding team as they navigate through various challenges and make critical decisions. With open and effective communication, teams can address issues promptly, find solutions together, and continuously improve their processes and strategies.
As a CEO for over 12 years, the single trait I value most in a founding team is pragmatism. Building a company requires making difficult decisions and pursuing practical solutions over idealistic ones. Teams that can assess situations objectively and act rationally tend to have the highest chance of success. At ENX2, my team and I have had to make many tough calls over the years to ensure the longevity of our business. We've had to pivot strategies, let go of personal preferences, and make data-driven choices even when they were hard. Pragmatism is what has allowed us to stay focused on results rather than emotions. Another key trait is humility. Arrogant teams believe they have all the answers and don't seek feedback or input from others. Humble teams recogmize their own weaknesses and limitations, and they actively work to address them. At ENX2, we practice active listening with our clients and employees. We understand that there are always opportunities for improvement, and we value the insights that come from outside perspectives. This humility has been integral to our ability to build an innovative company culture and offer services that meet real customer needs. Finally, founding teams should value trust and transparency. Team dynamics suffer without open communication and a willingness to be vulnerable with one another. At ENX2, my team and I have worked hard to establish an environment of psychological safety where everyone feels comfortable sharing their thoughts and concerns freely. This level of trust has been crucial for navigating challenges together and maintaining a cohesive, collaborative team. With transparency and trust, founding teams can achieve remarkable things.