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Everyone has their idea of what it takes to make a great leader. More than that – everyone seems to have their definition of leadership. Yet, there are a few constants, including the ability to bring success, support a team, and appreciate risks.

When running a startup business, it’s essential to pick the right leadership style for you and the company. The type will be driven by many different factors, including the industry, business size, and owner involvement.

Different Types of Leadership

As mentioned above, there are different types of leadership styles to choose from. While there are far too many different styles to list, a few dominant types rise to the top more often than others. These include:

  • Authoritarian or autocratic – one of the least effective yet most common styles. It focuses on results but leads to high employee burnout.
  • Bureaucratic – A by-the-book leader is a bureaucratic leader. This is another commonly ineffective style, yet it is still pervasive.
  • Coach – Much as the name suggests, this style encourages employee growth and improvement as a means to success.
  • Democratic – An effective form of leadership that is both supportive and innovative.
  • Laissez-faire – This is a somewhat effective strategy that is autocratic and relies heavily on delegation.
  • Pacesetter – This is a style perfect for when fast results are needed. It is a performance-first type of leadership style, one that sets high standards.
  • Servant – A servant leadership style puts people (employees) first, ensuring that they are working effectively by increasing their happiness.
  • Transformational – This is a style best suited to businesses that are constantly in flux, but it can be challenging. 
  • Transactional – This is another typical leadership style, one that rewards employees for their excellent work.
  • Visionary – A visionary leader is constantly pushing for progress and change, but they do so by inspiring those around them.

Questions to Ask

When choosing from the available leadership styles (or a combination of a few), it’s important to ask a few key questions. What is the company like? Is growth going to be a factor? What about employee morale?

All of these questions will help new leaders choose the right style of leadership for their growing business.