Balancing Your Credibility Bank: A Guide for Business Owners

In business, trust and credibility are not just assets but the currency that fuels meaningful, productive relationships. Whether you’re interacting with customers, stakeholders, or your employees, your ‘Credibility Bank’ plays a pivotal role in defining the quality of those interactions.

The Credibility Bank is an abstract yet powerful concept that illustrates the intangible value a leader holds in a professional environment. Just like a financial bank, your Credibility Bank has deposits and withdrawals. A deposit could be anything from delivering on a promise to a customer to recognizing employees’ contributions. On the other hand, withdrawals may involve actions like failing to keep a commitment or not being transparent about a delayed order, for example.

As a business owner, ensuring that your Credibility Bank (like your bank account) always has more deposits than withdrawals is critical. The balance between the two influences your authority, impacts the work culture, and, by extension, affects the overall success of your small business. Here’s how you can manage your Credibility Bank effectively, particularly with your employees.

balancing your credibility bank

Clear Communications

The cornerstone of credibility is clear, concise, and consistent communication. This is especially crucial when it comes to your employees. Misunderstandings, even seemingly minor ones, can lead to unnecessary withdrawals from your Credibility Bank that can disrupt the balance.

In good times or bad, be as transparent as possible with your employees about the state of the business, their roles, your expectations of them, and any changes that may be coming. Regularly hold team meetings and encourage open dialogue to foster a communicative atmosphere.

Some employees may be reluctant to speak up in a group, so be sure your door is always open and that employees feel comfortable sharing their input without fear of consequences.


Actions speak louder than words–always. Demonstrating integrity means aligning your actions with your spoken commitments. Delivering on promises consistently increases the deposits into your Credibility Bank significantly. Conversely, if you promise something to your team you can’t or don’t deliver, you have not only made a withdrawal, but you also run the risk of incurring ‘overdraft fees’ in the form of decreased employee morale and engagement.

A similar deficit can occur if you don’t deliver your goods on time, miss a crucial client deadline, or are consistently late paying your bills.

Emotional Intelligence

Understanding the needs and feelings of your employees is an often overlooked yet essential quality of a credible leader. Being empathetic can provide insights into your employees’ motivations, ultimately allowing you to guide them more effectively. Whenever you successfully navigate an interpersonal challenge within your team, you make a small but essential deposit into your Credibility Bank.


Being accountable for your decisions, particularly the flawed ones, is non-negotiable. When you own up to your mistakes, you show your team, customers, and others that you value honesty over ego. This counts as a significant deposit in your Credibility Bank. It also shows what credible leadership looks like so your team can model your behavior.


The world of business is perpetually evolving, and flexibility can serve as your ally. Being open to innovative ideas and willing to change your approach keeps your business competitive and enhances your credibility. Employees and customers value working for and with people who can adapt because it provides a sense of security, knowing that the company can navigate various challenges.

Recognition and Appreciation

Recognizing and appreciating the demanding work of your employees goes a long way to retaining them for the long term and building your credibility. Acknowledgment can take various forms: promotions and salary hikes are important, of course. But something as simple as public praise or thanking an employee with a $50 gift card works wonders. Each act of recognition is a significant deposit into your Credibility Bank.

Ongoing Development

Investing in the growth of your employees is a long-term deposit in your Credibility Bank. Whether via training programs, workshops, or educational incentives, investing in your employees’ future not only makes them better at their jobs but also fosters loyalty.

Maintaining a positive balance in your Credibility Bank is not a one-time task but an ongoing process. It requires vigilance, self-awareness, and continuous effort. Being a credible leader doesn’t mean never making a withdrawal. Instead, it’s someone who ensures that the deposits far outweigh those withdrawals over time. In the intricate dance of leadership, those who manage their Credibility Bank effectively gain respect and create a sustainable, thriving environment for their small business.

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Nellie Akalp Nellie Akalp is a passionate entrepreneur, recognized business expert and mother of four. She is the CEO of CorpNet, the smartest way to start a business, register for payroll taxes, and maintain business compliance across the United States.