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When Should You Hire That First Employee? - Article

Are you starting to feel that your business is spinning out of control?

Have you missed an important call or let a deadline slip, skipped a crucial meeting or failed to submit a bid on time?

Are you just looking to get a good nightís sleep or enjoy a free afternoon?

If any of these scenarios apply to you, then it could be time to think about hiring an employee.

Bringing on that first employee, however, is a big step for start-ups and solopreneurs.

There are many questions you have to answer, for example:

  • Is the timing right?
  • What happens if business slows down?
  • Will you be able to find the right person?
  • Are you ready to be an employer?

Knowing when to hire is as important as deciding who to hire.

Delay too long and you may be overwhelmed by mundane tasks that prevent you from attending to critical aspects of your business. Hire too soon and you add an unnecessary burden to your fragile budget.

Most experts suggest that you wait as long as possible before bringing on that first employee.

The fixed costs and administrative management involved can suck up cash and time.

Moreover, itís important to wait long enough to get a clear sense of what your business needs are and what role that employee will play.

On the other hand, waiting too long to hire is also a mistake.

Bogged down with trivial details, you could miss a key opportunity or find yourself forced to hire in a hurry, increasing the risk of ending up with the wrong person.

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