Internal Investigations: When to DIY, When to Call in Help
By VICKY BROWN
When a Complaint Isn’t Just a Complaint
If you’re a small business owner, there’s a good chance you’ve faced a situation that felt uncomfortable. Maybe an employee mentioned something offhand – a tense interaction, a questionable joke, a comment that made them feel excluded. And your first thought? Handle it fast, keep things calm, and move on.
But the second that complaint touches harassment, discrimination, retaliation, or serious policy violations – you’re in new territory. You’re not just responding to a concern. You’re running an internal investigation. And how you do it can either build trust or break it – not to mention open you up to legal risk if it goes sideways.
Let’s talk about how to get it right – and when it’s time to stop going it alone.
The Trap of “Fix It Fast”
Most small business owners didn’t start as HR professionals. You’re used to solving problems quickly, not creating paperwork trails. So when something serious happens, the instinct is to talk it out, smooth things over, and get back to work.
But that approach can backfire. Because internal investigations aren’t just about conflict resolution – they’re about process. You need objectivity. You need documentation. And you need to show, clearly and consistently, that the complaint was taken seriously and handled professionally.
That doesn’t always mean bringing in a lawyer. But it does mean slowing down and asking the right questions.
When It’s OK to Handle It Internally
Not every complaint needs outside help. Some situations – like communication breakdowns, scheduling disputes, or mild friction between employees – can be managed in-house. If the issue doesn’t touch legally protected categories and no leadership team member is involved, you may be fine handling it yourself.
But even in these cases, don’t skip the basics:
- Document everything
- Stay neutral
- Follow your policies
- Avoid promises you can’t keep
If you can stay objective and keep your role clear, a well-handled internal process can resolve the issue and strengthen your leadership presence.
Red Flags: When You Need Outside Help
The moment any of the following is true, it’s time to call in a qualified pro:
- The complaint involves harassment, discrimination, or retaliation
- Someone in leadership (including you) is involved
- You can’t be truly neutral
- There’s potential for legal action or a government complaint
- In these cases, objectivity isn’t optional – it’s critical. Bringing in an outside investigator protects you from bias claims, helps ensure a fair process, and makes the outcome more defensible if things escalate.
And in California, this isn’t just best practice – it’s law. When you’re talking about outside support, remember only licensed attorneys or private investigators can legally conduct certain workplace investigations. So if you’re in CA, talk to your employment counsel before you hand off anything.
“… at the end of the day, internal investigations aren’t just about what happened. They’re about how you responded”
The Biggest Mistakes I See
Even well-intentioned leaders make these errors all the time:
- Treating an investigation like a chat, not a formal process
- Sloppy or missing documentation
- Promising total confidentiality (which you can’t legally guarantee)
- Waiting too long to act
- Starting but never closing the loop
- Focusing on the intent instead of the impact
Each of these missteps creates risk – either legally or culturally. And they all tell your team that leadership might not take concerns seriously. That’s a recipe for disengagement, turnover, or worse – a formal complaint.
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What to Do If You Bring in an Investigator
Once you’ve decided to call in help, your role changes. You’re no longer the decision-maker. You’re the support system.
That means:
- Sharing everything – documents, policies, emails, timecards
- Being transparent about what you know and what you’re worried about
- Letting the investigator lead the process (no nudging or steering)
- Respecting the findings, even if they’re uncomfortable
And when they come back with recommendations, take them seriously. Acting on the results is just as important as conducting the investigation in the first place.
So, Should You DIY or Get Help?
Here’s the framework:
- Is the issue low-stakes, without legal implications? Maybe DIY.
- Are you – or someone close to you – involved? Get help.
- Are you unsure if you’re too close to be fair? Get help.
- Could this become a legal claim down the line? Get help.
If you’re even slightly unsure, don’t wait for the situation to explode. Calling in a professional early on protects you and your people.
Because at the end of the day, internal investigations aren’t just about what happened. They’re about how you responded. And how you respond tells your team everything they need to know about whether they can trust you with the hard stuff.
That trust – that’s what keeps your team healthy, your culture intact, and your business out of trouble.