As of 2019, small businesses employ 47.5 percent of the American workforce. For the almost 30 million small businesses currently operating in the economy, many of them may find themselves at a crossroads when expanding/scaling up their current business operations, where they will contemplate hiring their first employee. As a new business entrepreneur, diving into the world of recruitment and human management can come with a lot of red tape, including the question of what businesses can do to not just attract and hire the right fit, but to retain and nurture that talent as well. When it comes to human resource recruitment, ensuring you have a well-suited staffing strategy not only helps your employee retention and overall productivity, but it can also be the tool that keeps you financially savvy.
Clarify Your Business Goals And The Role Employees Will Play In Them
Before you begin the recruitment process, you must first define what your business goals are – i.e. business premise expansion, increase in sales percentages, the establishment of your online brand, or the improvement of your credit collection ratios. This is important, since your business goals will set the tone for not only the kind of employee you are looking to recruit, but also the working ethics you wish to establish in your business. Small businesses have the advantage of being able to encourage a more interactive, flexible and relaxed work environment thanks to the close-knit relationships that tend to form. Consider this when developing your recruitment strategy and creating policies for any new employees.
Finally, your business goals will direct the extent of employment that would be ideal. Small businesses often wrestle with a common dilemma: Do I hire a full time or freelance employee? Many small businesses often make the mistake of hiring a full-time employee when a freelancer or contract employee would suffice. The job description and demands that come with achieving your preset business goals will help you answer this. If in doubt, you can start with a freelancer with the option to extend the contract. Be sure to also focus on the fit of the employee into your business’ stage in its lifecycle. Small startups often require long hours, flexibility and dedication to get it off the ground.
Do Your Due Diligence On Employment And Competitor Trends
When it comes to recruiting the right talent for your business, doing your research can point you in the right direction, particularly for those businesses hiring for the first time. Seek out current industry trends, including average salaries, work hours, standard workers comp insurance and other benefits, along with the average qualifications in roles similar to those you intend to recruit for. You will want to hire the right employee for the position and your business growth, and ensure that you have everything in place to protect them. In fact, in Salesforce’s Small and Medium Business Trends Report, small business leaders indicated that hiring and retaining the right talent is the second-highest growth challenge they face.
Align Your Recruitment Policies With Legal Guidelines
As a small business owner – and now an employer – your recruitment policy must reflect and adhere to the national legal recruitment and labor laws. Take the time to familiarize yourself with these, and include them in your recruitment policy guidelines, such as the Fair Labour Standards Act, the Occupational Safety and Health Act, and the Family Medical Leave Act. In addition, states will have their individual regulations governing smaller local businesses, including legal guidelines for the recruitment process and worker representation.
Recruiting for your business should not just be about filling vacant positions or dividing the increased workload. It should also focus on placing the right person in those positions, and establishing the correct guidelines and staffing strategy from the beginning can help with that. After all, a business’s brand is more than its products: it is the people behind them.