I think it's my job to risk looking foolish. One of the things I've learned from the actors I've worked with is you don't get something for nothing. If you don't risk looking foolish, you'll never do anything special.
I think if you are going to be a singer, you should sing. If you are going to be a dancer, you should dance. If you are going to do a combination of the two, you should make it very clear when you are singing and very clear when you are dancing.