Opinions expressed by Entrepreneur contributors are their own.

Key Takeaways

Moving from founder to chairman means letting go of the “how” and focusing on strategy, capital and accountability.

Give your CEO real authority by knowing the line between oversight and interference and don’t hire one until you’re truly ready to let go.

As a six-time CEO who has served on 23 corporate boards, I’ve watched the same story unfold in nearly every sector. An ambitious founder builds a business, reaches the point where they want to step back from daily operations, hires a CEO and moves into the chairman role, assuming the hardest work is behind them. Six months later, the relationship starts to fracture.

The founder feels the new leader is moving too slowly or making different choices, while the CEO feels micromanaged and stripped of authority.…