Turnover Hurts. Here's What Small Business Owners Can Do About It.

I am very lucky, I get to talk to small business owners and the people who work for them almost all day every day. One of the most common frustrations my clients talk about is the frustration around hiring and keeping staff that actually care and connect with the work that needs to be tackled. Ironically, I also hear from employees that often they aren’t getting what's needed to connect to and actually succeed in their roles. 

Clearly there is a disconnect and staff turn over is the fallout. Even small changes can seriously rock the boat for a small business, and turn over is one that is exhausting and expensive. So, what’s actually going on and what can you do about it?

Being an Employer Has Changed 
People have changed since a lot of small business owners, including myself, started in the workplace. The conversation around “work-life balance” has become so pervasive that we are seeing the blowback, so to speak. It used to be that you took a job and understood that there was often a portion of the job that might not be exactly… fun. The employee experience consisted of health insurance, two weeks vacation, and the occasional bonus or promotion. You just did what you were asked when you were asked to do it. Now, people want to know not only that their work matters, but how it matters to the business they are working for, and if they don’t feel it, they’re gone. 

Reframing your mindset, particularly as a small business owner where you feel every bump, is unavoidable. The employee experience has to be part of your operational strategy to make turnover avoidable.

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So, if employees need to understand their impact, how can the overworked and overwhelmed small business owner hope to hire someone to take some of the weight off? The answer might sound overwhelming at first, but honestly, systems and rhythms, clarity and habits can make  the difference between people staying happily and them grumbling behind your back and leaving. As my son’s lacrosse coach says, do the little things right to see the big improvements. 

1. Be clear about what each role requires and what a next step might look like. And if you don’t know exactly, which is very common in small businesses who are just looking to take part of their burden off their plate, be honest. You don’t need to supply a formal career map or task list, rather explain where you and the business are and why you need X responsibilities taken care of by someone else. Have regular conversations about what is needed and why, and open the conversation to the problems and ideas that pop up to open the door for employee ownership over a role. People stay where they feel seen, heard, and valued.

2. Communicate with your employees like they are a partner in the business instead of just a paycheck. One of the biggest advantages you have as a small business owner is employees have access to you. Use that! You don’t need to be a completely open book, but sharing context about where the business has been, where it’s headed, why decisions are made, and what different facets mean can preempt departures. Cue a theme here - when people understand the bigger picture, they feel more invested. Communication is a retention tool.

3. Recognize the work people are doing specifically and consistently both in terms of what is working well and what needs to be changed. Of course, be respectful. No employee should ever be corrected or complimented in an embarrassing way. Going back to the lacrosse coach's advice I mentioned earlier - doing the little things well to see big improvements - this applies to you too. Give feedback about how they handled the difficult client interaction or research challenge or judgement in a key moment, it gives context to success. This is a people thing not just an employee thing… Remember how useless you thought (insert school subject here) was and look at you using it on the regular now!

4. Workplace flexibility isn’t a favor you do for your staff members, it’s part of your operational model. Small businesses in particular need a plan, after all, everyone is balancing something along with work, whether it’s school, caregiving, another job, or something else entirely. Consistent, well-communicated, intentional boundaries around work schedules, days off, working remotely, etc. allows you to create backup plans that everyone can get behind. It shouldn’t feel like you are the bad guy or playing favorites, instead it should feel like a collaborative responsibility.

5. Culture feels like a big business concept, doesn’t it? I mean, what small consulting practice or dog grooming business thinks about culture? It just is, right?! Not so. Just like so many other things with small businesses, when things are or aren’t working the impact is even more noticeable. Culture is how people treat each other on a hard day, whether or not someone feels comfortable raising a problem or an idea, and trust that there will be follow through on a promise. Small business culture does, more often than not, form organically and is heavily influenced by you, the owner. Use this advantage. Show up with respect and consistency to make your business a place where people want to work.

“But, I Don’t Have the Bandwidth!”
I know that being a small business owner is not simple because I am one too. The responsibilities of the day-to-day make it easy to push any kind of strategic thinking to the side. The experience of your employees isn't a nice-to-have. Luckily it's one area that doesn’t need a big commitment to get started - it just needs you to take a minute, be honest with yourself about how things are going and if it makes more logical sense for them to continue the same way or change. 

Working with my clients over the past 10+ years I have found that talking it through helps. Here is our Employee Retention Self-Assessment to get the wheels turning and to give you some perspective. Also, take advantage of my free 30 minute consulting session. It can help you decide if you want to go it alone or work with someone like me to help you retain your best people or address some of the other small business stuff: getting started, burnout, solo decision making, growing pains, working toward a sale or acquisition, marketing for the small business owner, goal-setting, identifying areas of opportunity, accountability, etc. 


GoFish Communications works with small business owners to find clarity and build momentum across marketing and operations that is supported by strategies, processes, and tactics to hold it all together. We are in it so that you can meet your own expectations. Want to get started? Let’s talk.