Leadership is the ability to clearly define a vision for your business and to motivate people to achieve that vision. Successful leaders are knowledgeable about themselves, passionate about their work, open-minded and able to adapt their management style to their audience.
For example, a founder who builds a team culture of accountability, clearly communicates the company's 3-year vision, and coaches direct reports through challenges demonstrates effective leadership — a quality that lenders and investors consider when assessing the management risk of a business.
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