Founder decisions

The first ten employees who carried the wrong values

The values were on the wall. The first ten hires lived different ones. By employee thirty, the wall version was a fiction nobody bothered to update.

The first ten employees who carried the wrong values
Illustration · Deimar Gutiérrez

How many of your stated values can you tie to a real decision from last week? Not the value as printed on the wall. The specific meeting where someone took the harder path because the value demanded it.

One founder ran that exercise in year four. Five values on the page, each with a paragraph explaining what it meant in practice. I asked him to name, for each one, the most recent decision where the value visibly changed an outcome. He got to two. The other three were aspirations. They described the culture he wanted, not the one he had.

Then we walked back to the first 10 hires, and which of the five values each of them lived. Four of the original ten were strong on the same two values and indifferent on the other three. Those four got promoted as the company grew. They hired people who resembled them. By employee thirty, the company ran a strong version of two values and a hollow version of three, whatever the document said.

This is how early culture sets, and it rarely gets undone. The first ten hires write the norms. Their behavior, watched daily by everyone who joins after, teaches new people what the company rewards in practice. The values document is a weak second signal. When the page and the behavior disagree, behavior wins, because behavior is what shows up in promotions, comp, and who the founder respects out loud.

Here's how it compounds. A new hire in week one watches how decisions get made, who gets praised, what gets tolerated. She calibrates to what she sees, not to the page she read once in onboarding. Within two weeks she can tell you which values are live and which are for show. She almost never says it out loud, but her behavior locks to the read, and the document keeps hanging on the wall attached to nothing she'll do. This is why culture forms from the bottom up regardless of what leadership writes down.

The early hires then hire the next layer in their own image. Same instincts, same priorities, same blind spots. The values they never embodied keep going unreinforced. By fifty people the lived culture is the early hires' culture, amplified, and the wall version is something nobody cites in an actual decision.

It gets worse at the senior layer. The early hires who got promoted carry their calibration into every hire they make and every direction they set. Their version of the culture becomes the version the next generation absorbs. If the founder was reaching for something those ten didn't live, that something is now absent from the senior team entirely. The founder ends up surrounded by a company that doesn't share his intent.

So the work happens before the first ten hires, not after. The values have to be specific enough to test in an interview. "We move fast" is too vague; every candidate claims it. "We ship a customer-facing change every week, even when it's uncomfortable" is testable. You can ask for an example. The example shows whether the person behaves that way or only nods along.

Hiring for culture, done seriously, is demanding. It needs specific values, specific behavioral questions, and the spine to pass on a candidate who's strong on skills and weak on culture. Most early companies don't have that spine, because the pressure to hire is immediate and the cost of a mismatch is delayed. The candidate available now gets hired. The mismatch surfaces later, once the company outgrows the size where the founder can hold the culture personally. The trap isn't the obvious bad hire; it's the "culture fit" hire who's pleasant and still wrong for the team.

A useful question sounds unsentimental: "Tell me about a time you shipped something you weren't sure was ready, because shipping mattered more than polish. Walk me through the call." Either the person has a story or they don't. The one with a story can name the tradeoff, the discomfort, the decision. The one without produces an abstract answer about valuing speed. Endorsing a value isn't the same as having lived it, and only one of the two predicts behavior.

For the first ten, weight culture at least as heavily as skill. Skill develops on the job; the cultural read is set on day one and propagates. Hire ten people for technical excellence and cultural indifference, and by employee thirty those same people are the senior voices setting norms for everyone else.

Recovering after thirty is expensive. The wrong-values hires now sit in senior seats. Removing them is politically costly and operationally disruptive. Your real options are tolerating the drift, swapping senior people out slowly over years, or rewriting the values to match what the company became. None are clean. The clean path was hiring right in the first ten, and by thirty that path is gone.

Before your next early-stage hire, ask:

  • Is each stated value specific enough that one behavioral question could test it?
  • For each value, what concrete example would you accept as evidence of fit?
  • If this person joined and got promoted in three years, would the culture move toward the founder's intent or away from it?
  • Is the pressure to hire fast quietly outweighing the cost of the mismatch you'd be buying?

Run that honestly and most founders find a values document too vague to test and a process tuned for skill over culture. Specific values and specific questions cost a few hard passes now. Skipping them costs the culture you end up with, which is seldom the one you meant to build.