Abstract
Illiteracy exists everywhere, yet little is known how it affects how entrepreneurs run their ventures. We contribute to research on entrepreneurial judgment by exploring how the basis of judgment varies for illiterate entrepreneurs. Based on field experimental evidence and qualitative data, we propose that illiterate entrepreneurs overcome literacy challenges by developing trust and social capital with people around. Trust seems particularly hard for illiterate entrepreneurs due to several encountered disappointments throughout their life. This makes it harder for them to consider opportunities brought from the outside. In such instances, the ability to exercise judgment depends heavily on the ability to discern who to trust.