If you are already thinking about hiring the first employees in your company, then you are ready to loudly declare yourself in the business world. This is a serious breakthrough and a great responsibility because now you have to think not only about how much you will earn but also about what salary “that guy” will bring home.
The more people you hire, the less income you get and the less money you have to invest in business growth. So it will be at least at first. But it’s also impossible to postpone the hiring of new employees for a long time because sooner or later will arise business processes that you can not perform alone.
No one will tell you when it is ideal to start inviting people to work. You must come to this decision yourself. Before placing a vacancy announcement and starting the selection of candidates, carefully weigh the pros and cons. The answers to these four questions will help clarify everything.
1. What Size Do You Want to Grow To?
How fast should your business be at that point? Someone will say that size is not the main thing and will be absolutely right as someone is more comfortable working in a small company or even in the family business. This is great but you should not dream about excess profits in this case.
A successful business must grow. At some point, you will have to start delegating tasks. Especially that in which you are not a pro. This is important to do in order to eventually reach a new level.
2. Are You Ready to Slow down for a While?
If a business is completely tied to your actions, its profitability depends on your participation. If you offer some personal service you are limited by your time and pair of hands. Even if you have a lot of customers lining up for you, you won’t earn more than you do.
In this situation, you should slow down and hire an assistant. He needs to be trained to do the work as well as you do. If there are so many customers and orders that you do not have time to process all of them, it is time to hire employees. Don’t lose money if you can earn it.
3. Will the Costs Cover Profit Growth?
Evaluate whether you really need a full-fledged employee. Most often hiring a person entails costs for the arrangement of the workplace, remuneration of labor, training and introduction to the work, and monitoring the results of his work. Think about the benefits of introducing a new person to the staff. Theoretically, no one will do better than you. But you are not a robot and you cannot work for two. Maybe your business is ready to grow and you need to give it a chance to do this.
If an employee will save you from routine tasks that prevented you from doing more for the good of your business, consider how much more efficient you will be. If the benefits are obvious, then write a job description to hire new personnel.
4. Maybe Outsourcing?
You can outsource some business processes. Bookkeeping and legal services duties you may give to outsourcing accounting services, the work of the secretary transfer to the call center. This is cheaper than hiring a full-fledged employee, equipping his workplace, and worrying about who will do his job if he gets sick or goes on vacation. Such a solution will remove some of the tasks from you for a reasonable price.
