Section 2 — Skills of Entrepreneurs
What is competence?
Competence means being good at something by having the correct knowledge, knowing how to do things the right way, and making the right decisions at the right time. You can get better at things by facing new challenges and using your competencies and skills to solve them.
Hard Skills vs. Soft Skills
A good entrepreneur needs both types of skills:
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Hard skills (technical skills) — skills you can develop by studying and practicing a specific subject, such as math, science, coding, or accounting. You usually learn these in school.
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Soft skills — learned through interacting with others and reflecting on yourself. These are interpersonal skills like communication, teamwork, creativity, empathy, and critical thinking.
Having technical skills alone is not enough to make you a good entrepreneur.
Why soft skills matter
Soft skills are about how you:
- Communicate with people
- Think of solutions to problems
- Work with others in a team
- Lead and inspire a team
Soft skills are important because they help us work well with others and make good decisions — two very important things when developing a new venture, looking for a job, or seeking a partnership.
The 5 most important soft skills for entrepreneurs:
- Communication
- Teamwork
- Creativity
- Empathy
- Critical Thinking
We will explore each of these in the next section!