As a small business owner, you must remember that your employees are not your friends. Don’t get me wrong – of course you want to be friendly and create a relationship based on mutual respect and trust. But so many small business owners fall into the trap of treating employees like friends (or worse yet, hiring family or friends – but that’s another topic!).

It’s not easy taking on the role of “boss.” Unless you have been an entrepreneur from birth, you had a few bosses before you started your own business, so you are well trained in being an employee, not a boss. When it comes your turn to be the employer, it can feel pretty uncomfortable, especially when corrections need to be made and negative feedback given.

One of my clients was quoted this week in the Wall Street Journal on this issue.
Before she started her business, 2 Hounds Design Inc., a manufacturer of designer dog collars, Alisha Navarro had a boss who invasively monitored employees’ activities. So when Alisha started her own company in 2003, she was intent on using a different management style.

In the WSJ article it says, “But Ms. Navarro admits her hands-off approach has backfired on her at times. “I have an intense need to be liked by everybody, which translates into trying to deal with problems in the workplace indirectly rather than directly,” she confesses.”

In fact, with some help from me, Alisha has come a long way in “toughening up” and becoming a stronger (though still nice) boss. If a nice southern girl like Alisha can do it, so can you.

In providing small business consulting services to entrepreneurs around the US and Europe, I am constantly helping clients deal with employee issues. Let’s face it, it’s one of the hardest aspects of running a company, and not nearly as fun as creating new products or services. But your team is your fortune, so take the time to get better at managing them and you will be well rewarded.