Over the past few weeks, I have delivered a number of speeches to business owners. Perhaps the most common question I’m asked by audiences is: “What makes an entrepreneur?” My typical answer is that self-confidence and self-discipline are the two most important traits.

That is until I read a fascinating article about educating children in the New York Times (“What if the Secret to Success is Failure?” by Paul Tough). The essay postulates that the most worthwhile indicator of success at school for a child is not background or test scores but character. And the seven aspects of personality that apparently matter most are zest, grit, self-control, social intelligence, gratitude, optimism and curiosity. I realised that such a list could equally be the defining criteria for entrepreneurs.

Many people think character is part of one’s DNA, and not derived from experience. I disagree: as someone once said, “character is not given but earned”. An entrepreneur’s essence is revealed when their company is faced with a crisis; it is the best measure of how they will perform in the long run. As Goethe wrote: “Character is best formed in the stormy billows of the world.”