In a November 30 article (“Trust Me”), the Wall Street Journal offers tips to entrepreneurs who want to gain credibility in the eyes of potential funding sources.
Based on a study of key individuals at 28 entrepreneurial ventures, the article asserts that “the most successful founders were masters at making symbolic gestures that signaled stability and credibility” in four vital areas:
- Personal Credibility – Example: Revealing personal details that strike a chord with listeners
- The Company’s Professionalism – Example: Thoughtfully prepared web page and business cards
- The Track Record – Example: Showing a prototype or a controlled product demonstration
- Emphasizing and Building Ties – Example: Being associated with prestigious stakeholders
Takeaway: In a tough, competitive economic environment – especially if you are an entrepreneur without a track record – sending a message of credibility is just as important as having a great? product, a large market, and the right management team.
Disclaimer: This post does not constitute legal advice and does not establish an attorney-client relationship.