Founder Mode vs Manager Mode: When to Switch Hats

Founder Mode vs Manager Mode. It’s one of those terms that seems to be everywhere lately. I heard about it first on a podcast, then it started popping up in articles I was reading, and now it feels like everyone’s talking about it. 

And while the buzzword might be new, the concept definitely isn’t. It’s something I’ve seen play out time and time again in businesses – and, if I’m being honest, it’s something I’ve been struggling with myself recently.

Let me explain…

When I started my business, I was involved in absolutely everything. Every decision, every email, every automation – if it had my name on it, I was knee-deep in it. 

But now, the business has grown. I have a brilliant team that takes care of the day-to-day, and, for the most part, there’s not as much “doing” for me to do anymore. Which is exactly what I wanted, right? I wanted (and have) a freedom-based business. 

Except… it’s not as simple as that. Letting go is hard. I keep wondering: How do I step back without losing the heart and soul of what I built? I’ve even found myself googling “what shall I do now” – which is what inspired me to write this blog.

So here I am, sharing my take on it – what I’ve learned from the articles, the podcasts, and my own real-life experience with it. 

What is Founder Mode?

When I think about Founder Mode, what comes to mind is this: building a business from scratch. You’re there at every step, the ideas, the delivery, the operations, the marketing – you’re part of every single process. It’s your vision, your energy, and your decisions that drive it forward. You know every inch of how the business runs, inside and out. That’s what makes Founder Mode so special – you’re not just leading the business, you are the business.

But as your business grows, the dynamic changes. You start bringing in people to help – contractors, online business managers, and consultants who take on more and more of the work. The idea is that they’ll align with your vision, carry the torch, and free you up to focus on bigger-picture stuff.

Here’s where it gets tricky –  if you step away too much, the essence of what you’ve built can get diluted. No one else can bring what you bring to the table. The energy, the personal touch, the “why” behind it all – that’s yours. And when you’re not there, where does it go?

This is why I think Founder Mode is still so important, even as a business scales. It’s not about attending every admin meeting or micromanaging every task – that’s not sustainable, and honestly, it’s a surefire way to burn yourself out. But it is about staying involved in key moments.

For example, let’s take a big corporate CEO. They’re not in every single finance or operations meeting, but when they drop into one occasionally, it sends a message. It shows the team that they care about how things are being done and that they’re still connected to the core of the business. It’s also an opportunity to spot talent – seeing who steps up, who has fresh ideas, and who might be perfect for a bigger role.

What I’ve learned is that Founder Mode isn’t about control – it’s about influence. It’s about staying connected enough to make sure your vision is being upheld and that your team has what they need to succeed. It’s about making sure the heart of the business doesn’t get lost as it grows.

What is Manager Mode?

If Founder Mode is about being deeply involved in the DNA of your business, Manager Mode is about stepping back, delegating, and trusting your team to execute the vision. It’s the natural next step for many founders, especially as the business grows more complex. 

But while Manager Mode can make scaling possible, it comes with its own challenges.

When you’re in Manager Mode, you rely on systems and people to keep the wheels turning. You’re not in every meeting or involved in every decision – and that’s a good thing. Instead, you focus on the bigger picture: growth strategies, long-term planning, and leading the business to new heights.

I’ve seen this play out with businesses that skip straight to Manager Mode. Maybe they hire a team of specialists right from the start – an online business manager, a marketing agency, a sales team – and let them run the show. It’s efficient, yes. But without a founder’s hands-on influence in those early stages, the business risks losing the authenticity and alignment that makes it unique.

That’s why I think Manager Mode works best when it builds on a solid foundation set during Founder Mode. It’s about letting go of the right things while staying involved in what truly matters. 

So how do you make sure that doesn’t happen? 

For me, it’s all about finding touchpoints that keep me connected to the business. Take our marketing, for example: I have a marketing manager who handles most of the day-to-day marketing, but I’m still involved. We’re constantly bouncing ideas in Slack, and we have regular in-person strategy sessions to keep everything aligned.

The same goes for client work. While most of it is handled by my amazing OBM Associates®, I still step in as COO. I’m there to offer advice, provide oversight, and host quarterly strategy sessions with the team and our clients. These sessions aren’t just about staying updated – they’re about spotting opportunities, offering support, and ensuring that our work remains aligned with the vision I had when I started this business.

Ultimately, Manager Mode is about balance. It’s about creating space for your business to scale while staying tethered to its heart and soul. It’s not about abandoning what you’ve built – it’s about evolving your role to support the business in new and intentional ways.

The Risks of Staying in One Mode Too Long

Sticking too rigidly to Founder Mode or Manager Mode can hurt your business. Each has its strengths, but when taken to the extreme, those strengths can quickly turn into stumbling blocks.

When You Lean Too Hard on Founder Mode

Staying in Founder Mode indefinitely can feel natural – it’s your business, after all. 

But here’s where it can go wrong:

• You become a bottleneck: when every decision has to pass through you, things slow down. The team can’t move quickly, and your business misses out on opportunities to scale.

• You risk burnout: let’s be real—no one can do everything forever. Staying involved in every single task isn’t sustainable, and it can leave you feeling drained.

• Your team doesn’t grow: when you don’t delegate, your team doesn’t get the chance to step up and take ownership. This can lead to frustration, turnover, and a lack of innovation.

I’ve seen businesses where the founder refuses to loosen their grip, and instead of flourishing, the business stagnates. It’s like keeping your hands on the wheel even when you’ve hired a team of expert drivers – it’s exhausting for you and frustrating for them.

When You Go Too Far Into Manager Mode

On the flip side, some founders shift completely into Manager Mode and take a hands-off approach. 

While this can free up your time, it also comes with risks:

• Loss of authenticity: the brand can start to feel corporate or generic without the founder’s personal touch.

• Disconnected leadership: when you step too far back, you might miss out on key insights from the ground level – like what your customers want or how your team is really performing.

• Cultural drift: your team might start making decisions that don’t align with your original vision, and the business can lose its way.

I’ve experienced this myself to a degree. As my team took on more responsibility, I realised I was stepping so far back in some areas that things didn’t quite feel like me anymore. It’s not that my team wasn’t doing an incredible job – they were – but the essence of what I’d built felt a little… distant.

The key to avoiding these pitfalls is flexibility. You don’t have to stay in one mode forever. Instead, I like to think of Founder Mode and Manager Mode as tools you can switch between depending on what your business needs.

Finding the Balance: When to Switch Hats

One of the hardest parts of running a business is knowing when to step back and when to lean in. It’s not about choosing between Founder Mode and Manager Mode forever – it’s about recognising what your business needs at any given moment and adjusting your role accordingly.

Signs It’s Time to Step Into Manager Mode

As your business grows, there are clear moments when it makes sense to move into Manager Mode and delegate more:

• You’re feeling overwhelmed: if you’re juggling too many day-to-day tasks and struggling to focus on the bigger picture, it’s time to let go of the smaller stuff.

• Your team is ready to step up: when you’ve hired talented people who can take ownership of specific areas, trust them to do their job.

• Growth is stalling: if your business is hitting a plateau, it might be because you’re too involved in the weeds and not spending enough time on strategy or expansion.

This doesn’t mean disappearing from your business altogether. It means empowering your team to make decisions while you focus on steering the ship in the right direction.

Signs You Need to Revisit Founder Mode

On the flip side, there are times when staying in Manager Mode for too long can leave your business feeling disconnected from its roots. Here’s when it might be time to lean back into Founder Mode:

• The brand feels off: if your messaging, tone, or customer experience doesn’t feel like you anymore, it’s a sign that your involvement is needed.

• Your team is misaligned: if decisions are being made that don’t align with your vision or values, it’s time to step in and course-correct.

• You’re losing touch with your customers: when you’re too far removed from the frontlines, you risk missing critical feedback from the people who matter most – your customers.

Revisiting Founder Mode doesn’t mean micromanaging. It’s about showing up where it counts – whether that’s refining your brand’s tone, participating in a key strategy session, or simply connecting with your team to ensure the vision stays strong.

Practical Strategies to Balance Both Modes

Balancing these modes isn’t easy, but it’s doable with intention. 

Here are a few strategies to help you switch hats seamlessly:

• Create non-negotiables: decide which areas you’ll always stay involved in—like major branding decisions or product innovation – and delegate the rest.

• Schedule check-ins: even if you’re mostly in Manager Mode, make time to connect with your team or sit in on key meetings to stay grounded in the business.

• Set boundaries for your Involvement: be clear with yourself and your team about when you’ll step in and when you’ll step back. This keeps everyone aligned.

• Trust, but verify: delegate responsibility, but make sure there are systems in place to track progress and ensure alignment with your vision.

The beauty of balancing Founder Mode and Manager Mode is that you don’t have to stick to one forever. As your business evolves, so can your role.

Building a Business That Thrives in Every Mode

The journey from Founder Mode to Manager Mode isn’t linear. Some days, your business needs your hands-on creativity and passion. On other days, it needs your strategic oversight to ensure the wheels keep turning and the business scales. The key is knowing when to switch hats and being confident enough to do it.

Personally, I’ve felt the tension of these modes firsthand. There are moments when letting go feels impossible, and other times when stepping back has been exactly what my business needed to thrive. It’s not easy, but it’s worth it – because the balance between these two roles is what allows you to grow without losing what makes your business special.

So, where do you stand right now? 

Are you clinging too tightly to control, or have you stepped so far back that the heart of your business feels out of reach? Take a moment to reflect and consider what your business needs most today.

Because at the end of the day, it’s not about choosing Founder Mode or Manager Mode. It’s about creating a business that thrives with both – and building something that not only grows but grows in a way that still feels like you.