How To Determine When It’s Time To Make A New Hire

How To Determine When It’s Time To Make A New Hire

The beauty of a small business is that it can be done by one person alone. If you’re selling items on Amazon, you may not need more than one person, or you may just need to work with your co-founders. Hiring an employee is something you may associate with bigger businesses and brick-and-mortar locations.

However, there (hopefully) comes a time in any small business venture when you’ll need to make your first hire. Employees exist for a reason, and not hiring somebody when your business needs one can strain your workflow. Here are some signs that it’s time to hire.

You Can’t Grow Your Business Because You’re Too Busy Maintaining It

There comes a time when you’re doing so much work for your business that you feel like you have multiple full-time jobs.

Whether you spend too much time doing the paperwork, campaigning on social media, making sales, or anything else that could be done by a new employee, you’re not getting things done efficiently. And this can prevent you from making real expansions and decisions for your business.

There’s a difference between not wanting to do the work because you’re lazy and passing the work to someone else because you want to focus on the growth of your business. Think about your workload and the potential you’re missing out on. It’s probably the right time to hire an employee.

You Can Afford it

An employee cuts into your profits.

You have to spend money to recruit an employee. You need to pay them a fair wage, deal with taxes and insurance if required, and so on. The cost will depend on what kind of business you have, but it’s going to cost you. But, when you’re working on your business while the employee does the tasks you don’t have time for, you can end up making the money back and then some.

So if you have the money to pay for an employee, and you’re sure you need one, then do it.

And that’s all there is to it when deciding if your business needs an employee. If it’s work that needs to be done consistently that you can’t find the time to do, and if you can afford someone to do it for you, then hire an employee.

With that said, here a few tips to finding the best fit:

Know Your Laws and Figure Out a Plan

As you’re about to hire, look up the federal and state labor laws and see what you need to do it on the up-and-up.

You’ll need an employee identification number, certain forms, and anything else that’s required by law. You’ll also need to figure out if your employee will need insurance, and you should come up with a schedule and a vacation plan.

Post a Good Job Description

Post your help wanted ad on any outlet possible. If your job is local, you may want to stick to the local job boards as this will help narrow down your applicants to people with reasonable interest in the job.

When you write the description, you need to explain what you need, and do it clearly. However, don’t post so much information you end up boring people. When it comes to job requirements, be reasonable but leave the door open for less experienced candidates who may still have something to bring.

Make Sure Your Employee is Invested in the Company

Whenever you’re interviewing potential candidates, you want someone who legitimately wants to be a part of your company and doesn’t see it as another job. Maybe they love supporting small businesses and want to be a part of something bigger. Ask the important questions:

  • Why do you want to work for my company?
  • What do you think would help the company grow?
  • What are your biggest accomplishments?

These can help you separate the willing employees from the lazy. Don’t settle for the first employee you can find, as this may end up blowing up in your face. If your employee isn’t productive, it will cost you more than you thought.

Treat Your Employee Right

Finally, your employee’s expectations out of you should be reasonable, and same for you and your employee. Don’t overwork your employee for little pay, and don’t forget to reward good behavior. Challenge your employee, listen to them, and be a team leader instead of a grouchy boss.

Hiring your first employee can be an intimidating task, but it’s a leap every company will have to make if they want to grow. If you can do it, do it, and make sure you find yourself a good employee who will help your company propel into the limelight, whether locally or around the world.


Susan Ranford is an expert on job market trends, hiring, and business management. She is the Community Outreach Coordinator for New York Jobs. In her blogging and writing, she seeks to shed light on issues related to employment, business, and finance to help others understand different industries and find the right job fit for them.