There comes a time for many entrepreneurs when it’s no longer economical to handle everything alone. Hiring your first employee is a huge decision; in some ways, it feels like you’re legitimizing the business.
When hiring your first employee, there are a lot of things to think about. Here are six tips for hiring your first employee.
Get Payroll Procedures in Place
You should have payroll procedures put in place before you start interviewing potential employees. In addition to having the right program in place, you’ll also need to research taxation and deductions to ensure that you comply with local and federal regulations.
Consider outsourcing your payroll services, especially if you expect to hire more employees soon. Payroll outsourcing can drastically reduce the headaches associated with processing payroll.
Outline the Job Description
Before hiring your first employee, you should have a clear idea of what they will do under your employ. Sit down and write out the pain points in your business or areas where your personal expertise is weak. This could be anything from marketing to administration.
Completing this exercise will help give you a better idea of what you need in an employee. It will also mitigate the onboarding experience, as you’ll have a clear list of tasks that you’ll be delegating.
Network to Find Recommendations
Before posting to job boards, use your network to find recommendations. By asking your network, you can potentially streamline the hiring process. Rather than sorting through numerous applications, you’ll start with a shortlist of people to contact.
When you’re reaching out to your network, start with your most trusted contacts first. Ideally, your contacts will recommend someone they’ve worked with personally. Be sure to interview them and check their qualifications rather than hiring blindly off of someone’s recommendation. Just because someone was a good fit elsewhere doesn’t mean it will work for your company.
Hire for Potential
Keep an open mind when evaluating candidates. Instead of hiring for their education or years of experience, hire for their potential. After all, passion and determination are the crux of entrepreneurship. Finding someone who shares those values is vital.
Look beyond the resume and hire for the person. Shape the role to them rather than trying to fit someone into the role. As an entrepreneur, you have the flexibility to alter the job description, and you can take on the role of mentor to help your new employee grow and flourish.
Don’t Hire Yourself
A common mistake entrepreneurs make when hiring their first employee is hiring a version of themselves. Remember that you’re not hiring someone to be your friend: you’re hiring someone to expand your business. Choosing a replica of yourself will give your organization tunnel vision as you move forward.
Instead, hire someone with a different worldview. An employee offering a different perspective rather than just agreeing with everything will help you see opportunities you otherwise wouldn’t. Hire them and empower them to make suggestions.
Work with an HR Consultant
When in doubt, don’t hesitate to contact an HR consultant. They can help you ensure that you have the right policies and procedures in place to ensure that your new employee (and you) are covered. An HR professional can aid with the hiring and interviewing, lending an unbiased perspective when evaluating candidates.
Working with an HR consultant can also help you set a strong foundation for when your business expands further. By putting the various pieces of the employer puzzle together now, you’ll streamline your efforts when you hire your second, tenth, and twentieth employees.
Follow these six tips when you’re ready to hire your first employee, and you’ll be ready to take your business to new levels.
