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When Should You Start Employing Staff?

Aug 17, 2007
Once your business starts getting to a certain size, you will need to hire staff. You simply can't put it off forever. If you constantly feel like you never have enough time in the day, it may be a good idea to buy some time instead.

1. Staff Should Pay For Themselves

Think about it, if hiring wasn't profitable, companies wouldn't do it. With the exception of commission work, this protects you against the concequences of your work potentially costing the company money. In other words, you are giving the company a percentage (a big percentage) of your earnings in exchange for them being the ones providing the resources and taking all the financial risk.

2. Investing

Think of your employee like an investment - you put in some money as wages and get more out of it. If you stop getting more back, you can cancel and change your investment by getting rid of them and employing someone else.

3. The Interviewed Becomes the Interviewer

The first step in finding staff that are going to make you a good profit is to advertise the job. You shouldn't have too much trouble with this, since there are always people looking for work - put up a few signs, go round a few agencies, tell some people you know. Youll pretty quickly have people beating down your door.

4. The Interviewing Process

The next step, then, is the interview process. Since youve probably been through the interview process a few times, itll feel good to be sitting on the other side of the table. Don't get carried away, though - remember that the purpose of the interview is to try to figure out whether the person youve got in front of you would do a good job for your business if you employ them. Here are a few ideas for questions -

Q1. Tell me about yourself

While this sounds cliche, the applicant's response to this will give you a good idea about their personality and what they think is important, as well as their ability to think on their feet.

Q2. Why should I hire you?

Youre looking for the person who's been listening to what youve said youre after and responds by telling you how they meet your needs.

Q3. Give me an example of a real problem you encountered in your last job - how did you solve it?

This gives them an opportunity to help you and impress you in the process.

Q4. What did you like or dislike about your last job?

This gives you an opportunity to spot problem candidates - if they use it as an excuse to have a bit of a moan, you probably shouldn't hire them.

If in doubt, just remember that you can ask anything, as long as it's open- ended. Whatever you do, don't ask yes or no questions.

5. Paying Their Taxes

Be absoloutely sure that you pay the correct amount of taxes to the government. You will usually need to pay their income taxes for them, as well as various other medical and securityinsurance taxes. Not only is getting this right highly important, but it's also illegal if you don't do it.
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