Successful founders embody a variety of traits. The exact combination differs because every person has unique strengths and weaknesses, but certain traits are more common in successful founders than in the general population, I think. Street smarts is an important one.

When I think about street smarts, I think of navigating bad situations with lots of uncertainty. Often without relevant experience. The term doesn’t mean the founder comes from the streets or was raised in a rough environment. All founders will encounter situations that feel impossible. (It’s only a matter of time.) Navigating them is a key to survival and ultimate success. Founders with street smarts understand when they or their team members are under attack and know how to put up a defense. They also can detect when people are lying or trying to take advantage of them.

A company may not survive if its founder doesn’t have street smarts. If you’re a founder or want to be one, ask yourself: how well do I handle bad situations?