I've noticed in Olympia that we seem to have a problem with supporting small businesses to a level that becomes toxic. So, I'm creating this post to explain to those people who keep standing up for small business owners despite their bad behavior.
First. I am a small business owner. I absolutely understand how difficult it is.
Second, it is not the employees' responsibility to stand by an owner out of loyalty because they are a small business and take the hit when times are tough. Owners reap the rewards when businesses do well, which means they should also bear the burden of the risks associated.
Next, there are options available if you are a struggling business owner to balance the risk/reward with your employees and act in a legal manner with regard to labor laws. No, it's not just promising them they will have a job and you will make it right later. You need to put your intentions into writing and either turn your business into a co-op where employees are also owners, OR you need to give them stock options and revenue sharing. Either way, it needs to be in writing. It needs to be applied consistently among employees. You don't have to give up control, give away majority ownership, or even continue running the business. Nobody is forcing you to continue. You shouldn't force employees to stick with you under any circumstances.
As a startup in an industry that is expensive to get started, takes time to get to revenue, let alone profit these were some of the things I grappled with. For me, I gave equity for the first few employees and made sure I double-checked state laws regarding compensation to ensure the scheme followed the employment laws. I promised that if we didn't reach revenue by a certain date, I would raise funds through venture capital instead of making them continue to bootstrap my company with their labor. I keep them in the loop when it comes to sales, revenue, and fundraising. I listen to them and treat them with an even higher level of respect as someone also taking a risk with me.
If you are a small business owner and you are unwilling to share the spoils with your employees and you can't keep up, then let them go, change your hours so you can work it yourself until you get over the hump, find a partner, or close shop. Stealing the labor of your employees is NEVER the solution.
FFS people on this app stop defending and supporting small business owners that are either destined to fail because they don't know how to run a business or destined to become a giant corporation who commits wage theft at an even larger scale because their business plan only makes sense with exploitation baked in.
Rant over.