Donât get me wrong. Iâm not against cofounding. Iâll say again, Iâm a team player. I like having at least one other person to work with on an ongoing basis, someone who understands and is as passionate about what weâre trying to accomplish as I am. In fact, as we grow, I want to surround myself with those kinds of people.
But I also know that leadership, true leadership, is lonely as hell.
When decisions need to be made in the name of an organisation âdecisions with consequences that might not go over well with everyone affected but need to be strongly defended and firmly held â those decisions canât be made by a committee, or by a team, or by a panel.
When big, ugly decisions get made by committee, and youâre lacking buy-in from one or more members of the side that lost the decision-making vote, youâre setting yourself up for potential failure, potential future gridlock, and definite disgruntlement.
And God forbid, if ever one of those committee-made decisions becomes unpopular and one or more representatives of that decision-making body makes it known that they werenât on board with that decision in the first place, youâve got yourself a mutiny in the making and chaos in the organisation.
So yeah, Iâm not saying that any startup with two or more cofounders is doomed to failure when the chips get low, Iâm just saying I get a lot of emails.
My cofounder has checked out, what do I do?
In a recent issue of Teaching Startup (#82), I answered a question about the impending removal of a cofounder who hadnât âcontributed anythingâ in several years.
While I believe I gave some good answers, not only about how to resolve the equity situation but how to prevent it from happening in the first place, I would say I get that email or have that conversation with a founder about once a month.
Sometimes the person who needs to be removed is a cofounder, sometimes itâs an early angel, sometimes itâs a regular employee. But the situation is always the same. Trust in the beginning leads to the drawing up of documents that outline reward without defining contribution. Then the contribution stops, but nothing stops the timeline of the reward.
Except for a really bad and painful breakup.
Business relationships are like personal relationships, except theyâre not
I like talking about relationships because they fascinate me. I donât have perfect relationships. I have enemies. I donât have a perfect marriage. My kids donât think Iâm the perfect dad. There are folks I know who I wish I was closer to and I know Iâm the impediment.
But I donât have to be a pro-golfer to show you that youâre gripping the golf club incorrectly and itâs killing your swing.
To hammer the point: Also in this weekâs issue, we ran a poll about which areas of their lives entrepreneurs get the most useful leadership lessons. Relationships finished dead last. And I realised that while there are a lot of lessons you can take from personal relationships, there are enough major differences that make leaning on those personal relationships to figure out business relationships problematic.
The disappearing cofounder phenomenon is one of those differences.
One way that business relationships are indeed like personal relationships, especially marriages or other romantic relationships, is that sometimes one person will do anything they can to keep the peace, maybe more than they should.
The difference, especially when it comes to cofounding or other shared decision-making responsibilities, is that in marriages and romantic relationships, there has to be a symbiotic relationship in order to survive and thrive. In other words, if all the decision-making in the relationship is done by one person, the relationship suffers.
Itâs the exact opposite with business relationships. Every business needs a leader. So if Iâm not the CEO, I will defer to my CEO. Every time. And in some situations, Iâm glad Iâm not the CEO, and I donât have to deal with CEO shit. Because when I am the CEO, I understand that itâs my responsibility to make, defend, and carry out the tough, ugly, and scary decisions.
If you have cofounders, one of you needs to be a strong CEO. And if that relationship sours beyond repair, the CEO needs to rip the relationship away like a bandage. A lot of new entrepreneurs, and even some of the experienced ones, go into cofounding without that agreement.
And when that happens, I end up getting one of those emails.
This article was originally published on Medium by Joe Procopio
Joe Procopio is a multi-exit, multi-failure entrepreneur. He is the founder of startup advice project TeachingStartup.com and is the Chief Product Officer of mobile vehicle care and maintenance startup Get Spiffy. You can read all his posts at joeprocopio.com
If you want more direct advice and answers, look into Teaching Startup.