Being an entrepreneur is exciting. You are not only bubbling with new business ideas, but you are also building your business plan and preparing to launch your products and services.
While you know the ins and outs of your business, having more hands on deck can speed up the whole process. Whether packaging your products, taking the first customer orders, or providing efficient customer services, having more people on your team can always be beneficial. It will also give you more time to work on other critical business functions while your team takes care of others.
Hence, it is a good idea to hire a few people.
But how to hire your first employee to ensure effective hiring and performance? Here’s what leading business coaches have to say.
Determine the skills you need for your business
When looking for your first employee, start by determining the tasks you need the employee to take care of. Based on those tasks, you must determine the skills the new employee must possess. This can help you build an accurate job description for prospective employees.
For example, when it comes to tax preparation, outsourcing the work seems more profitable. But if you need assistance with day-to-day tasks such as order tracking, packaging, customer services, and more, you must hire someone full-time.
Knowing the tasks will help you determine the skills and find the right first employee.
Consider the employment costs
When you hire your first employee, you must consider the employment costs. These costs will be added to the monthly salary you pay to them.
Start by considering whether you want to hire them part-time, full-time, temporary, or any other employment method. Based on the same, you need to consider the entitlement. Add to that other legal requirements, payroll tax, and superannuation.
If you are posting the job requirement on a job board or using the services of a recruitment agency, consider the costs for the same.
You might have to provide materials and training resources along with any technology and tools such as mobiles, uniforms, and more. Insurance, such as worker’s compensation, is another cost to consider when employing your first employee.
Consider the industrial relations
A professional business coach in Australia advises understanding industrial relations. This is essential to ensure you know the exact employment regulations to follow when hiring your first employee.
For example, if your firm is registered as “incorporated” (Pty Ltd), you must follow national industrial relations. However, all other types of businesses come under state industrial relations.
Understand employer obligations
When you hire your first employee, you become an employer. This can be quite different than working independently on your business.
As an employer, you have some obligation to be aware of. A business advisor Melbourne suggests being aware of these obligations ensures creating a diverse and experienced team for your business over time.
Learn more about employee obligations such as superannuation and tax, equal opportunity laws, keep employment records, employment and pay conditions, creating a safe workplace, managing workplace injuries, leave policies, employee insurance, and more.
Wrap it Up
Hiring your first employee can be exciting. However, it comes with its own set of regulations and obligations. Understanding these regulations and obligations allows you to become a responsible employer and hire a qualified employee.
Whether you are hiring your first employee or the nth employee, you can learn more about it with us at Keystone Executive Coaching. Our business coach Melbourne will train and walk you through the process of hiring the right candidates effectively. We also work with small business owners and entrepreneurs to improve other business functions such as finance, marketing, sales, and more.
Contact us now to find out more.