Principles of Successful Entrepreneurs

I recently created a grid of principles that I found useful and built a scorecard to rank 100 entrepreneurs I know based on those principles.I wanted to see whether there are some principles that are personified by most successful entrepreneurs, while at the same time being very rare among unsuccessful founders. This was not meant to be an academic exercise. In fact, I did not care about a perfect study design while doing it, yet I realised that the principles most commonly shared by stellar founders were different to the ones I initially anticipated. The following three principles were the most common:

Focus on Truth

First, a focus on truth. Founders who focus on truth are founders who focus on reality. They have no issue making a complete pivot if data suggests so. They report true numbers, even if they disappoint. They are objective about their productivity. At the same time, they don’t lie to themselves nor others. 

Simplification

Second, a focus on simplification. When founders enact this principle, they try to make everything simpler, either by automation or by reduction. They focus on breaking things down, so that they can re-assemble things in the most simple fashion. They want to understand root causes and causation in general. They are not afraid to say no and work on very few key metrics that drive the business.

Adaptation

Third, strong hedonistic and professional adaptation. While hedonistic adaptation is often described as a recipe for unhappiness, I noticed that a lot of great founders have it. They spend a short time celebrating and then move on to the next big goal. If they reach a goal 1 year earlier than expected, they adjust their goals immediately and aim even higher. They constantly try to hire better people, onboard more helpful investors, and aim for more prestigious and bigger clients. They are never satisfied with the status quo. Furthermore, they end up achieving unfathomable things, and they end up being unhappy about it all. 

On the Principles of Success

In studying these principles, I realised that the most successful entrepreneurs share a unique blend of relentless truth-seeking, radical simplification, and constant adaptation. They confront reality head-on, strip away unnecessary complexity, and continuously push their own limits without settling. While this mindset can lead to extraordinary achievements, it often comes with an insatiable drive that makes satisfaction elusive. Understanding these traits can help founders cultivate the right habits for long-term success, while remaining mindful of the personal trade-offs that come with them.

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