Hiring for potential is genuinely good advice. It's also, in practice, almost meaningless — because potential is one of those words people use when they want to sound like they're making a principled decision without having to articulate what they're actually evaluating.
I've been building and growing teams for fifteen-plus years. Here's how I think about it operationally.
Potential isn't future skills. It's current traits.
The mistake is thinking that "hiring for potential" means hiring someone who could theoretically learn the skills the role requires. That's a very low bar. A motivated person can learn almost any technical skill with enough time and the right environment. That's not potential. That's just capacity.
What I'm actually evaluating when I say I hire for potential is a specific set of traits that determine whether someone will grow — and whether that growth will make your organization stronger.
Coachability. Does this person update their thinking when presented with new information? Not agreement for the sake of it — genuine updating. Do they come back from feedback with a changed approach, or do they just say they heard it and then do the same thing again? This one matters more than almost anything else, because everything else is teachable if they're coachable.
Curiosity. Do they ask good questions? Not to sound smart — actually because they want to understand. Curious people learn faster, see problems before they become problems, and tend to be more useful to the people around them. Incurious people plateau early and often don't know it.
Grit. Doing anything worth doing is hard. Things break unexpectedly. Specifications change. A competitor launches the feature you've been building. Someone you were counting on leaves. The people who treat these things as evidence that they're doing something hard — rather than evidence that the world is unfair — are the people you want on the team when it gets hard. And it will get hard.
Service orientation. Do they look for what needs doing and just do it, without being asked? Do they lift the people around them, or do they treat team wins as competition for individual wins? The research on high-performing teams is pretty clear: teams that practice service and mutual support outperform teams full of talented individuals who don't. You're building a team, not a roster.
Ownership. When something goes wrong, do they own their piece of it? Not flagellate themselves — own it, learn from it, fix it if fixable, and move forward. People who hold themselves accountable make it easier for everyone around them to do the same. Teams with high ownership move faster because they don't have to spend energy on blame and cover.
"If you are not expecting a lot from your associates, then you are not expecting them to be future leaders of your company."
Why this matters especially at the early stage
The first 20 people you hire will determine the cultural ceiling of your company for longer than you think. Not the first 200 — the first 20. Because culture doesn't come from the values slide in the all-hands. It comes from the behavior of the people who were there at the beginning, replicated and amplified as the company grows.
Hire people at the early stage who have these traits, and you create an organization that can learn, adapt, and grow with you. Hire for credentials and experience alone, and you get a group of skilled individuals who may or may not be able to build anything together.
The skills will develop. The traits either show up early or they don't. Know which ones you're hiring for, and have a way to actually evaluate them — because "hire for potential" without a definition is just a way of saying you'll know it when you see it. You might. But you might not.