Your risk, your rewards. You may see not drawing a salary while you get your firm up to speed as a sensible “sweat equity” investment. But working for free is being a fool.
You can’t quit—but maybe they should. You may fear that employees will leave if you, say, cut their pay by 5%. Good! If they’re that uncommitted, why would you want them to stick around? You’re not in business to be everyone else’s benefactor.
You need to show who’s boss. If you reward yourself less than your employees, you’ll imply that you’re not really in charge.
It shows your true bottom line. Paying yourself little or nothing merely masks your firm’s poor performance. You should instead solve the causes of your company’s weak results, such as a lack of quality control or sales, bloated overhead or other financial woes.