So, you’re ready to take on someone new and become a manager, a leader, a mentor and an employer all rolled into one… Congratulations on reaching this point in your start-up!
I believe there are a few things you’ll be considering before taking that leap, though…
Before you even think about how introducing new talent into your business, you’re probably thinking about whether you really do need to bring someone else in.Does this decision match the objectives of your business? Did you plan for a lifestyle business but found it’s a runaway success? Will the workload be consistent, or even continue to grow? Can you be sure that anyone new will deliver on your planned objectives for the future?
I would encourage you to ask yourself one other important question:
What are the skills gaps in the business, and can you reorganise, train, outsource or automate to fulfil them instead?
When to introduce someone new
There’s no one right time for every business, just like there’s no one right time to start a family, buy a house, or even start your business in the first place! You just have to have clarity and be brave!
Considerations to help gain clarity on your reasoning
Instead of wondering how you know it’s the right time, ask yourself if you know when it’s the wrong time. If your arguments for not doing it don’t stand up, then by logic it could prove to be the right time.
I would never advise making a decision that affects your future business, customer relationships or cash flow under high pressure. Instead find ways to reduce the pressure so you can make this important decision with a clear head.
- Extend deadlines
- Manage customer expectations
- Stop taking on new responsibilities
- Practise saying ‘no’!
Are you clear on what duties you will allocate the new starter? And perhaps more importantly, do you have the time and mental bandwidth to nurture a new person who is unfamiliar with you, your processes, products and customers?
Here’s a strategy you can try to help figure this out:
Write down all the indicators that would give you confidence to hire. For example, the level of work is sustainable, your cash flow and reserves can support a hire, you/your existing team have the capacity to share work, you have a defined role ready for them, you have the time for guidance/training and anything else you can think of. Now, ask yourself these questions:
- Will the new hire generate income?
- Will the work they do save money?
- Does the hire bring new skills?
Finding the right person
OK, you’re ready! Now you just need to find the right person… You could view the search through the same lens as finding the right customers:
- What are you offering them?
- Where do they hang out?
- What does your ideal candidate profile look like?
- Who will they have a relationship with in the business – what’s the hierarchy structure?
The big difference between new customers and new team members is – your new hire will probably change your role – are you ready for that, or are you aiming for that?
You could look for the person yourself via recommendations from your network, or you could go down the recruitment company route. Maybe you’d like to test the water and offer part-time to begin with or even find a sub-contractor.
Whichever route you decide on, make sure you are clear on your legal obligations, as well as your ethical responsibilities.
Remember: Your first hire does not have to be a full-time employee. Would your initial requirement be better covered with a virtual assistant, someone part-time or a contractor?
Let’s talk about your leadership style
‘You lead what you breed’ encapsulates a truth that many overlook: as a leader your influence shapes the behaviour, attitudes and performance of your team. Leadership is not merely a position; it’s a responsibility that extends beyond strategy and operations. It reaches into the very fabric of your organisation’s culture and team dynamics.
Your leadership will model the behaviour of others. Your team looks to you as a role model. Demonstrate integrity, dedication and positivity and you see the same reflected back from your team. On the other hand, exhibiting inconsistency, negativity or lack of commitment could lead to a poorly performing team with low motivation and morale. The trick is to align your team for success.
Aligning your team for success comes from creating the right environment.
Share your mission, vision, values and purpose freely. Allow for creativity and innovation to be shared and received with positivity and communicate with respect and authority.
Remember: The culture of your business starts and ends with you.
What I wish I knew back then…
My advice for the younger me would be this: Expect failure – it’s all part of the journey.
Setbacks are your best teachers, but don’t let them stifle your momentum. Consider how you can learn, pivot and keep moving forward, and look at every outcome as a lesson.
Whether positive or negative, every result teaches you something valuable.
This article covers just the early parts of chapter eight in the Financial Times Guide to Starting a Business. The rest of the chapter covers topics such as:
- Choosing between sub-contractors and employees
- Becoming a manager for the first time
- Ten ways to create a culture that attracts, retains and boosts productivity
- Employment documentation and payroll
- Inducting new team members
- Training and development
- People management
- And goes into greater detail on the topics we’ve touched on today.
To get access to this wealth of information, buy the book at Waterstones or Amazon, or give me a call to talk about your specifics. I’m always happy to help.