Good morning. Most startups don’t stall because of product or funding, they stall because of leadership.

This week, we’re digging into the specific strengths that make for breakout startup growth, whether it’s a founder in the CEO chair or a second-generation leader brought in to scale. Plus, you’ll discover the latest on rate-cut signals from the Fed, how small businesses are putting AI to work without cutting jobs, and a fresh wave of funding in the startup world.

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BUSINESS PULSE

Economy: Wall Street pulled back after a recent rally. The S&P 500 dipped 0.4%, the Dow slid 0.8%, and the Nasdaq dropped 0.2%, even as markets priced in a possible September rate cut. A crucial inflation read—the PCE index—is due this Friday, expected to be just above the Fed’s 2% target.
What it means to you: Rate relief may be on the horizon, but don’t rely on it alone. Instead, plan for tighter costs and stay lean.
Source: AP News

AI: AI adoption is accelerating among small businesses. Nearly 68% now use AI, and of those, 80% say it helps their teams rather than replace them. Almost 40% expect to create new jobs in 2025 because of AI.
What it means to you: AI isn’t a threat, it’s a growth lever. Use it to boost productivity and scale your team's reach without sacrificing headcount.
Source: Fox Business

Startups: Palo Alto’s TinyFish raised $47 million in Series A led by ICONIQ. Their AI agents automate complex web browsing tasks like price tracking and inventory monitoring for retailers and travel companies.
What it means to you: Intelligent automation isn’t future talk, it’s here. If your startup wrestles with data collection or competitor tracking, TinyFish-style agents could be game-changers.
Source: Reuters

SUPERPOWER MIX

The Strengths That Drive Startup Growth

Here’s a reality check: breakout growth doesn’t come from the best pitch deck, the biggest raise, or even the sharpest product. It comes from leadership. And not leadership in the abstract sense, but from the very specific strengths that either a founder, or the next CEO brought in to scale the company, bring to the table.

In our own work with startups, we’ve seen it over and over. The pattern is clear: when the CEO leans into their strengths and builds a team around their blind spots, the company accelerates.

When they don’t, growth stalls.

Gallup’s research on CliftonStrengths makes the case even stronger. Certain strengths repeatedly show up in high-performing startup leaders. The most obvious are Strategic Thinking (seeing patterns others miss), Influence (rallying investors, employees, and customers), and Execution (driving things across the finish line). Add Relationship Building into the mix, and you’ve got a leader who not only makes decisions but also keeps a team aligned when the pressure’s highest.

McKinsey’s work on scaling companies backs this up. The leap from scrappy startup to $100 million “centaur” isn’t just about product-market fit. It’s about the leader’s ability to combine raw vision with structure. Execution speed slows dramatically when leaders can’t shift from hustle to system. The ones who break through are those who know how to focus on what matters most, protect their team’s energy, and adapt their role as the company grows.

This is why some founder-led companies thrive … and why some don’t. A founder might have the charisma and customer obsession to get from zero to one, but lack the execution strengths needed for scale. In those cases, the most valuable move is to bring in a president or CEO who does. The story isn’t “founders should always step aside.” The story is that the right strengths, in the right seat, at the right stage, create breakout growth.

Here’s how to make this practical.

  • Identify your two superpowers. Are you best at inspiring? Executing? Spotting the future? Write them down.

  • Find your opposites. If you’re a visionary, hire an operator. If you’re a closer, hire a builder. If you’re the strategist, bring in someone who can influence and sell.

  • Build around strengths, not weaknesses. Don’t waste years trying to become great at what drains you. Build a team that complements you.

Take an example: one SaaS startup we studied grew revenue 4x in 18 months. The founder had clear strengths in strategy and product vision. But she knew execution wasn’t her lane. Her first major hire was a COO who thrived in operational detail. That pairing of vision plus execution was the catalyst for explosive growth.

The lesson is simple. Great startup leadership isn’t about being a superhero. It’s about knowing your strengths, owning them, and then building the company so that everyone else gets to do the same.

Growth follows strength.

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TOGETHER WITH

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TOOLS OF THE TRADE

Superpowers are stronger with the right gear. Here are a few worth adding to your kit.

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Superpower win: Remove friction in your workflow by reducing dependence on multiple writing tools, external apps, or lunch‑meeting writing reviews.

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