How to Manage Conflict

The Startup Help Desk

In this episode we answer questions about managing conflict. Conflict is inevitable in the high pressure, fast-paced startup world so managing it is critical to your success. We are here to help! In this episode we answer questions including:

• What do I do when my co-founder wants to leave?
• How do I resolve conflict between product and engineering?
• How do I repair a broken investor relationship?

This episode we're joined by guest panelist Kat Mañalac of Y Combinator! Kat is Managing Outreach Officer at Y Combinator where she participates in funding and supporting hundreds of startups every year. Kat has been at YC since 2013 and has seen over 3,500 companies go through the program. Previously, Kat was Chief of Staff to Alexis Ohanian, co-founder of reddit and investor.
All of these questions were submitted by listeners just like you. You can submit questions for us to answer on our website TheStartupHelpdesk.com or on X/Twitter @thestartuphd - we'd love to hear from you!
Reminder: this is not legal advice or investment advice.
Q1: What do I do when my co-founder wants to leave?
Sharing best practices from YC and founder coach Amy Buechler, Kat emphasizes that founder conflict is often not because of a failing relationship, but rather a result of “a lack of process” - a lack of routine to enable built-in collaboration. To build a healthy co-founder relationship:
- Set up weekly 60-90 minute founder syncs to build consistency.
- Practice giving each other feedback.
- Practice providing mutual recognition.
- Address the tough questions about the business.
- Define clear ownership over key responsibilities.
Ultimately, you may have to accept reality and their departure. To prepare for their potential departure, make sure to start looking for someone else, too.
Q2: How do I resolve conflict between product and engineering?
“Hoping that this will resolve itself” is a recipe for disaster. It is very bad for the business and for the culture of your startup to be “not really shipping anymore.” It is essential to address this conflict ASAP.
Address the problem immediately and hear both sides of the story. Step one is for everyone to be able to understand the other person’s perspective fully. This kind of conflict is often an issue rooted in mis-alignment on something key, such as priorities, process, or recognition.
Interpersonal conflict or disagreement is part of working on a team, and it can be healthy when focused on the right outcomes. Address the conflict as a team - ask questions and help them pursue a positive outcome and solution collaboratively.
Start lining up small wins that result in shipping product again. Give it a timeline where you need to see results.
Q3: How do I repair a broken investor relationship?
This happens, especially when everyone is under stress. You have to talk it through, apologize and reset your relationship. Understand where the anger came from and be honest. Invest in your investor relationships outside of meetings to help avoid this.
Being assertive and sharing your thoughts with conviction can be fantastic for the business, especially when you are debating strategy and priorities. Thus, when you are sharing your passion during a board meeting, focus on your main objective: driving value for the startup. Steer clear from disagreements and conflicts that are targeting the person.