The Network Effect

I watched a fireside chat by a successful founder yesterday. He shared his thoughts on the importance of one’s network and the impact his has had on his career. Advice he got from mentors twenty years ago continues to be the foundation for his growing enterprise. He believes strongly that you’re an average of the five people you surround yourself with. He also believes your net worth is a result of your network.

The people in your network can have a big impact on your trajectory, for better or worse. I was a nontechnical founder who knew zero about software. Being friends with other founders who were building software was the impetus for me to pursue building software for my start-up. The software was the backbone of our ability to scale the company to over $10 million in annual revenue. And I could give you countless other examples of how my network led to big wins throughout my journey.

Founders should be mindful of the outsize impact their network can have. A strong network can’t replace execution. You still must do the work. But a network of credible people can be a great complement that accelerates your success.