Customer small business financing solutions delivered through a single, online application.
Loan Types
Free access to multiple funding solutions
See funding solutions from 75+ nationwide lenders with a single application.
Apply for financing, track your business cashflow, and more with a single lendio account.
Home Running A Business Small Business Hiring Ooops! Great Employees Make Mistakes
Several years ago I had an employee who made a decision I wouldn’t have made that cost me a lot of money. Nevertheless, he made what he thought was the right decision at the time and I backed him up 100 percent.
At the time, my company provided digital prepress services to professional portrait photographers. One particular customer was unhappy because we hadn’t done some pretty extensive custom work that had neither been ordered nor payed for. Because I had empowered my employees to make decisions and meet customer expectations, when my employee agreed to do the additional work to make the customer happy, I had no recourse but to bite the bullet and pay for the work.
Employees sometimes do things we might not have done had we been on the other end of the phone or in front of the customer. It’s a fact of life. Amy Rees Anderson wrote about this last week in Forbes, “As a business leader, I found that one of the scariest things to do was give people the freedom to make mistakes,” she writes. “While mistakes allow individuals to grow, they can also be very costly to any company. Scared as I was, I knew that truly great leaders found ways to allow their people to take these risks, and I genuinely wanted to be a great leader. I wanted to help my employees grow. So I set out to discover how to accomplish this without placing my company in jeopardy.”
Anyone who has owned a small business can relate to this. Mistakes are expensive. Too many mistakes and you’ll likely “teach” your employees right out of business.
Nevertheless, mistakes are also a part of life. Over the course of my career, I’ve learned a thing or two about mistakes. Some from watching others make them, some from watching how leaders deal with them, and many times from mistakes I’ve made myself. Here are the highlights:
Although I still make mistakes from time to time, hopefully they aren’t the same mistakes I made early in my career—that’s not to say that related mistakes don’t show up now and again. Fortunately, I’m usually the one who catches them. Many small businesses try to run on paper-thin margins these days, making mistakes very costly. Maybe a more realistic approach is to look at margins over mistakes, since we all make them—even the boss.
Small business evangelist and veteran of over 30 years in the trenches of Main Street business, Ty makes small business financing and trends accessible in common sense language devoid of the jargon.
Subscribe to our weekly newsletter for industry news and business strategies and tips
Subscribe to our weekly newsletter for industry news and business strategies and tips.