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A founder is the leader or a member of the initial team that creates a business or similar organization. A typical founder is a passionate entrepreneur with a vision for a business that provides a needed product or service. Many are based on innovations, but some are merely a pizza shop in an underserved location.

Expanded Definition

Some founders are able to stay with their organization from the first phase (working evenings and weekends in the garage or on the kitchen table, financing early costs on credit cards) through venture capital, an IPO, and on to form a major corporation, or an industry leader. Bill Gates and Microsoft are an outstanding example.

Some founders relish the entrepreneurial freedom and have trouble dealing with the administrative hassles of a large corporation. They may sell out or bring in others to carryout the roles they find distasteful. If not, their personal management style can eventually limit the success of the company.

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