There's no correct answer. I have tried both strategies. When push comes to shove employees and founders are not co-aligned. You can treat people really well an

There's no correct answer. I have tried both strategies. When push comes to shove employees and founders are not co-aligned. You can treat people really well and they will leave. You can treat people badly and they will stay. You can explain things until the cows come home but employees are not founders, they can't always be expected to see things in the same light, timeframes, or think at multiple levels of the business simultaneously. High-touch management doesn't scale. Eventually you will part ways. Protect the business, be transparent enough to engender trust, admit your mistakes, and always be fair to others.