Help! Somehow my employer found out
December 11, 2024
by a searcher in London, UK
Hi Searchfunder Community,
Posting anonymously for obvious reasons, but I wanted to share my situation and seek your advice.
A couple of weeks ago, I began raising my search fund, with my website live and company registered. Somehow, my employer found out (how isn’t particularly important at this stage), and as expected, this didn’t go unnoticed. I was promptly called into a Teams meeting and terminated on the spot.
While I don’t know who brought this to their attention, I take full responsibility for the situation. My intention was never to breach any terms, but I understand the implications and am focused on moving forward. Ironically, I had already planned to hand in my notice this Friday, so the timing feels almost serendipitous.
My question is: how might this situation be perceived by investors? I plan to be completely transparent, highlighting that my termination was purely due to starting my search fund and not related to performance or other concerns.
On the bright side, I believe this experience underscores my unwavering commitment to pursuing the search.
I’d love to hear your thoughts and any advice on how to navigate these conversations with potential investors.
Thank you all in advance for your insights and support!
from University of Exeter in Derby, UK
1. Employment Law Considerations
Under English employment law, employees owe a duty not to compete against their employer and not to make "secret profits." It appears that your dismissal may have been linked to a breach of this duty. If this is correct, it raises two potential concerns:
a. A Lack of awareness: If you were unaware of these provisions, it might suggest a gap in business competence and
b. a deliberate breach: If you knowingly breached the contract, it could raise concerns about your reliability in honoring agreements, including any potential contracts with future investors or partners. 2,Regulatory Implications
In some cases, English regulatory law requires individuals to disclose dismissals from employment, particularly when applying for roles that require "fit and proper person" assessments. For example, this has historically been a requirement for registration with the Financial Conduct Authority (FCA).
While a dismissal does not automatically disqualify someone from acting in a regulated role, it may lead to additional scrutiny during the recruitment process, including answering detailed questions about the circumstances of the dismissal. 3. Clarifying the Dismissal Circumstances
It would be helpful to understand more about the dismissal itself:
a. Was it by mutual agreement, particularly if you were planning to resign anyway? Mutual agreement is generally viewed more favorably than dismissal for misconduct. b. Was there a compromise agreement in place, and did your employer follow the proper dismissal procedure?
Are you outside the 90-day time limit for bringing an employment tribunal claim? Employers often prefer to settle disputes amicably and may agree to a mutual termination with an agreed reference rather than face tribunal proceedings. 4. Perspective of Investors
While the above points are important, it’s worth noting that many investors focus on the broader picture, such as your overall career history and ability to deliver value. If you can demonstrate a strong track record and present a compelling case for future success, this issue may carry less weight. I appreciate that these comments might not be what you wanted to hear, but they are worth considering as you plan your next steps. I wish you well in navigating this situation and hope it leads to a positive outcome for your career and future ventures. Do contact me if you need further information.
Alan
from University of Miami in Dallas, TX, USA