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Business Tip of the Month

Business Tip
of the Month
For the month of January 2005

Hiring your first employee? Make it a success

Are you ready to hire your first employee? Perhaps you started a new business, working solo or with a spouse or business partner. Now the business is growing and there’s just too much to do. You find yourself working long hours and still not keeping up. It may be time to make your first hire. Think of the hiring process in two stages.

1. Defining your needs
Long before you start interviewing, think carefully about why you need an employee and how you’re going to work with the new hire. Do you need someone to bring new skills that the business is lacking? Or are you looking for someone to share your workload and free up your time?

If you’re looking for specific skills, could you use a consultant, a temp agency, or another outside source? Remember that hiring an employee will open up a wealth of new issues to take up your time – payroll, employment regulations, tax reporting, benefits, and so on. Make sure there’s no way to get the help you need without these complications.

Will your new employee be part-time or full-time? Will he or she work under your direct supervision, or will you delegate responsibility to your new hire? Are you prepared for the challenge of giving up hands-on control over part of your business. Think hard about these issues until you have a very clear idea of what you want from your new employee. Know the skills you need and the role you expect the new person to play.

2. Finding the right person
Once you’ve defined your needs, how do you find the right person? Attitude is important. Not everyone can function well in the fast-changing world of a small, growing business. You and your employee will necessarily be working closely together, so good personal chemistry is essential. There’s no magic formula for choosing the right person. Think about possible candidates whose work you know, perhaps employees of your suppliers or other businesses you deal with. Interview thoroughly, check references, and above all, trust your intuition.

Making your first hiring decision is seldom easy. Contact our office if we can be of any assistance.

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