When Should You Make Your First Hire?

The decision to hire your first employee is a major milestone for any small business owner. On the one hand, it's a sign that your business is growing and becoming more successful. On the other hand, it's a big financial commitment, and it means giving up some control of your company. So, how do you know when the time is right to make your first hire? Here are four factors to consider.

What To Consider Before Making Your First Hire

1. Consider the Cost

Before you decide to hire someone, you need to consider the cost. If you decide to hire someone full time, you'll not only be considering just the salary you'll be paying them, but also things like benefits, vacation time, and sick days. In addition, you'll need to factor in the cost of any training or onboarding that will be required. Once you have a good sense of the total cost of hiring someone, compare it to the revenue they would bring in. If the numbers make sense, then hiring may be the right move. If not, you may need to wait a bit longer or explore other options for growing your business.

2. Have a Clear Job Description

It's important that you have a clear idea of what tasks and responsibilities you want your new employee to take on. This will help you write a targeted job posting, and it will also help you weed out candidates who aren't qualified for the position during the interview process. Trying to figure out what you need from a new hire while also training them on their new duties is a recipe for disaster. So take some time beforehand to really think about what this position will entail and what qualifications are required.

3. Determine if You Have Time to Train Them

Speaking of training, another factor to consider is whether or not you have the time to train your new hire properly so that they can do their job well. Remember, this person will be representing your brand, so it's important that they have a good understanding of your products or services and your company culture before they start dealing with customers or clients. If you don't think you can dedicate enough time to training someone properly, then it may be better to wait until you're able to give them the attention they deserve.

4. Weigh the Pros and Cons

Once you've considered all of the above factors, it's time to sit down and weigh the pros and cons of making a hire at this point in time. On the plus side, adding an extra set of hands can free up your time so that you can focus on other aspects of running your business such as marketing or sales. On the minus side, there's always the risk that things won't work out with your new hire and you'll end up having to let them go further down the road (costing you both money and time in the process). Ultimately, only you can decide whether or not now is the right time for your business to make its first hire—but hopefully these tips have made that decision a little easier!

Should You Do It?

Hiring your first employee is a big decision for any small business owner—one that shouldn't be taken lightly! There are several factors that need to be considered before taking the plunge including cost, job description clarity, training availability/time commitment, and pros vs cons.

At the end of the day, our philosophy is that if by not hiring, it is taking us away from more opportunities to market or close more sales, it's often worth making the hire.

For more details on how and when to hire, check out our YouTube channel, especially the video below on how to hire profitably.

Best of luck on your hiring journey!