In this episode we talk about employee problems. If you have employees, some of them will create problems that you will have to solve. How do you solve employee problems without firing someone? When do you have to fire someone? We are here to help! In this episode we answer questions including:

• How do I handle an underperforming co-founder?
• What can I do about an employee who is chronically late?
• What if you suspect an employee has a second job?

All of these questions were submitted by listeners just like you. You can submit questions for us to answer on our website TheStartupHelpdesk.com or on X/Twitter @thestartuphd - we'd love to hear from you!

Your hosts:

• Sean Byrnes: General Partner, Near Horizon www.nearhorizon.vc
• Ash Rust: Managing Partner, Sterling Road www.sterlingroad.com
• Nic Meliones: CEO, Navi www.heynavi.com

Reminder: this is not legal advice or investment advice.

Q1: How do I handle an underperforming co-founder?

Here are our actionable tips:

• Weekly 1-on-1s are essential for resolving conflict and achieving alignment.
• Establish clear expectations for alignment and performance.
• Reflect on your own contributions to the problem: ask yourself, “what can I do better?”
• Seek coaching opportunities for your co-founder or explore if they might be a better fit in a different role.
• If you cannot achieve alignment with your co-founder, consider parting ways.

Q2: What can I do about an employee who is chronically late?

There are two distinct perspectives to consider:

• Flexibility is an advantage for your startup. Amazing talent with unorthodox work habits may unlock immense value for your startup.
• However, collaboration is key. The ability to collaborate is one of the most important skills someone needs in a startup. If punctuality impacts team dynamics, it is essential to address it.

We had to settle this one through a tie-breaker decision! Be firm. Small adjustments are acceptable, but don’t compromise the ability to collaborate. All work is collaborative. Your team has to work together to achieve goals.

Q3: What if you suspect an employee has a second job?

1: Outcomes matter more than effort. Are they meeting their goals?

2: Consider the cost of losing them vs. the value they bring to your startup.

3: Reiterate that team meetings and collaborative efforts are non-negotiable.

The key takeaway is this: ignoring problems sets a precedent that affects company culture. Company culture matters.