How to Handle Layoffs, Firings and Exits from your Small Business – Small Business Show 144

When the time comes to let an employee go, what are some best practices to keep your Small Business running smoothly during the transition? Should you worry about how it will impact other employees? Are there rules about how you go about firing someone in your state? Should you apologize to the person you are laying off? Join us on this episode of the Small Business Show for answers to these questions and much more! Your co-hosts have been to the party, they’ve seen this movie before and it’s not their first Rodeo. Having experiences with firing and laying off employees during their 25+ years in business has made it clear to both Shannon and Dave that how you handle these “Exit” situations can have a profound impact (both positive and negative) on your Small Business. We start the show with Shannon’s belief that in most situations, it’s ultimately the fault of management (that includes YOU, small business owner) when you have to fire someone – listen in to find out why and then let us know if you agree with this concept. Then, we dive right into what type of message your actions send to the rest of your employees, how thinking of yourself as a Steward to your employees can help you to frame things correctly and how to handle layoffs that will impact your cashflow. Even the eternal optimists at the Small Business Show want to warn you about being overly optimistic during these situations and how it can ruin your layoff strategy, along with tips on keeping communication flowing during this type of transition and how to embrace the “art of firing”. Join us today – we have a lot to talk about. Then, come share your experiences on the Small Business Support Group!   Sponsor: StoryBlocks. Get a “Triple Bundle” – images, video, and audio – for the price of one with our special deal. Visit StoryBlocks.com/sbs to get all of this for just $149 for a full year of unlimited access where all content is royalty-free! Chapters/Timestamps: 00:00:00 Small Business Show #144 for Wednesday, November 8, 2017 00:01:01 Sponsorships… in the last episode! 00:01:18 Layoffs and Firing: Letting people go 00:03:37 It’s a failure on your part 00:04:52 Sending the wrong message 00:05:16 Never take this lightly 00:06:49 You are your employees’ steward 00:08:13 Your employees see things differently from you 00:09:35 Two different types of firings 00:10:01 SPONSOR: StoryBlocks.com/sbs gets you their Triple Bundle for just $149 00:12:33 Layoffs – the Burn rate vs. the Earn rate 00:14:15 Don’t let optimism ruin your layoff strategy 00:16:03 Layoffs: You don’t get to pick who stays, just who goes 00:17:27 Communicate with everyone 00:18:15 No closed doors allowed 00:19:38 Sacrificing yourself first 00:22:40 No “poor me” cards allowed 00:23:45 Draw the paycheck and loan it back to the company 00:24:37 Learn about Basis for your Investment in your Business 00:25:31 The art of firing 00:26:53 Employees that can’t transition with your business 00:30:32 The value of exit interviews 00:32:04 Do you apologize? 00:33:14 Be aware of becoming too comfortable 00:34:09 Don’t do it alone 00:37:08 SBS 144 Outtro The post How to Handle Layoffs, Firings and Exits from your Small Business – Small Business Show 144 appeared first on Business Brain - The Entrepreneurs' Podcast.