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Founder to CEO: The Leadership Team Transition Nobody Prepares You For

Writer: msabbag3
msabbag3
Jul 23
2 min read

The thing that built your company is often the same thing driving your best people away.


I once worked with the founder of an organization who had grown it past 50 employees. By any measure, he was successful. But he couldn't see what was holding his team back.


In every executive meeting and in every one-on-one, he was the one making decisions. He wanted the details on every part of the business, then told each person what to do next.


Early on, that instinct was the reason the company grew. His expertise was the edge. Now, it was quietly pushing great leaders out the door.


He saw it clearly for the first time in a conversation about a key team member who had just resigned. The reason the person gave him didn't match what I was hearing. So, I asked more about where they were going and what the new role actually offered.


The answer had nothing to do with money or title. The person wanted to own their work while still partnering with the team, something they hadn't been able to do here.


To his credit, the founder recognized it immediately. He wasn't leading his people. He was micromanaging them. And it was costing him speed, and more importantly, it was costing him people.


The skill that gets a founder to 50 employees is rarely the skill that gets them past it. At some point, the job changes from making every decision to building a team you trust to make them.


If your best people are leaving and the exit interviews don't add up, that's worth a second look.


The hardest part isn't seeing it. It's admitting the thing that made you successful is the thing you now need to let go.

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© 2026 by Michael Sabbag

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