The Harsh Truth: Not Every Founder Should Be CEO At the end of the day, building a company takes vision. But running one takes discipline. The sweet spot? Marrying the two. That's where the real magic happens.

By Sherif Foda

Opinions expressed by Entrepreneur contributors are their own.

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Let's get one thing straight: being a CEO doesn't make you an entrepreneur. And being a successful entrepreneur doesn't automatically make you fit to be CEO. These two titles—often used interchangeably—are not the same. In fact, they're rarely embodied by the same person.

Why? Because starting a company and scaling one are two entirely different skill sets.

The myth of the "founder-CEO" is a glorified narrative: genius founder builds company in a garage, becomes a unicorn, takes it public, and rings the bell at the NYSE. But reality isn't quite so romantic. In practice, most entrepreneurs eventually hit a ceiling. They build something disruptive, but when it's time to operationalize that vision—when you're managing teams, scaling processes, dealing with profit and loss, board expectations, and public shareholders—they often flounder.

On the other side, we have the seasoned executive: the operations expert. This is the person who can manage 30,000 employees across continents, turn around loss-making divisions, and deliver consistent returns to shareholders quarter after quarter. This person might not have had the big idea, but they know how to turn one into a sustainable business. That's your CEO.

I've been lucky to have lived both sides of this equation. I spent decades in the corporate world—climbing from managing a country, to a region, to a continent, and eventually running global operations for a massive organization. I learned to lead big teams, successfully run a P&L, and keep shareholders happy. But I also went on to set up a company, raise capital, merge operations, and build a company employing 7,000 people across 15 countries. So, while I brought my executional expertise with me, I also had to rely on gut instinct, vision, and creative risk. It was a different muscle to flex. Founding something is emotional. Operationalizing it is surgical.

That's where most founders get stuck. They have the vision, but not the discipline. They can grow revenue but forget the bottom line. They chase scale without thinking about profitability. In tech especially, this happens all the time—skyrocketing valuations based on top-line growth, only for investors to later realize there's no sustainable business model behind the hype.

And the difference between private and public only widens the gap. Once you're public, you're not just running a company, you're doing earnings calls, quarterly reports, appeasing analysts, and defending your stock price. That's CEO territory. Not founder territory.

Some entrepreneurs can cross that chasm, sure. They're rare, but they exist. The unicorns among unicorns—those who can innovate and execute. But most successful companies, at some point, make the transition. The founder becomes chairman or chief visionary, and a professional CEO is brought in to run the machine.

And here's where it gets interesting. As someone who straddles both worlds, I now find myself betting on entrepreneurs. We've invested in seven startups with fantastic tech and bold founders.

When we consider investing, two things matter most: the leader and the technical lead. Do they have the common sense and the capability to grow? Do they understand the leap from startup to scale-up? If the answer's no, we step in and provide the platform. Because you can't fake operational excellence. And no amount of disruption will save a company that doesn't know how to deliver.

Take industrial engineering as an example. You might have the most innovative idea in the world, but without the ability to execute in that space—to compete on quality, cost, and consistency—you won't make it. You're going up against big players with deep roots, tight margins, and mature operations. Good luck breaking through if you don't have the infrastructure.

This is why I emphasize corporate experience. It's not just about process—it's about mindset. Running a company isn't glamorous. It's hard. It's managing budgets, logistics, culture, and performance—all at once. You need a deep understanding of systems, people, and outcomes. The entrepreneurs who succeed long-term either learn this quickly—or surround themselves with people who already know it.

So, back to the original question: Can the CEO and the entrepreneur be the same person?

Sometimes. But not often. Most of the time, the founder is the spark, and the CEO is the engine. And when you find someone who can be both? That's gold. That's rare. That's your Bezos, your Jobs, your Musk. But for the rest, it's about knowing your lane—and surrounding yourself with complementary talent.

At the end of the day, building a company takes vision. But running one takes discipline. The sweet spot? Marrying the two. That's where the real magic happens.

Related: You Only Live Twice: Sherif Foda, CEO and Chairman, NESR

Sherif Foda

CEO and Chairman, NESR

Sherif Foda is the CEO and Chairman of Nasdaq-listed oilfield services company NESR.
 
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