The number one reason for a business owner to hire someone is for their own happiness. Hiring for a key position means work will get done that the owner doesn’t need to do themselves. This will make the business owner’s life easier, open up their creative genius, and give them mental space and time to focus on growth areas of the business. Most importantly, it provides them with a well-balanced life by creating more time for family, more time to enjoy a personal life, and ultimately, it will expand the business in a positive way.
When should a business owner begin to hire?
Sooner rather than later. It’s best practice to hire before the position needs to be filled. Many business owners make the mistake of waiting until the need to fill a position becomes desperate, thinking they are saving the company money, but this leads to high employee turnover. Did you know that it costs a business up to 33% of an employee’s yearly salary every time it becomes necessary to replace them? It’s actually more financially beneficial to the company long-term to focus on employee retention.
So, why do business owners hire?
For the growth of their business! No business can properly grow without the right quality and quantity of people in place. It is a common mistake of new business owners to put unnecessary pressure on current employees while desperately searching for a new hire. Instead, give the current team continual opportunities to grow into leadership positions as the company grows by hiring more people. It’s a pretty well-kept secret in business that the personal growth of the team equals the continued growth of the company. If the current team isn’t challenged to grow, they’ll become bored, complacent, unhappy, and ultimately leave. Growth in business doesn’t mean just being busier. It means the team is being given new challenges while older job duties are being passed on to new hires. If your company isn’t growing, what is it doing? It’s shrinking, so nothing stays the same. It’s expanding or contracting. And this goes for your team also. Who do you want to hire? A fantastic cultural fit. Every company has a culture, whether you have defined it or not. You must define the culture and make it an intentional creation. If there was no intention with the culture, and it just happened, it’s most likely not ideal. So if it’s not what you want, go back to the drawing board and clearly define what type of culture you want to create. That culture is defined by the people you hire and their values. You will want to hire someone who fulfills your newly defined corporate culture.
What is company culture?
Company culture is the spoken and unspoken values of the community that the business owner has created. It’s a lot of responsibility, and it’s incredibly important in today’s marketplace. It can also be a lot of fun, and when it’s done well, creating a healthy company culture is a deeply rewarding and fulfilling accomplishment that can serve as the backbone to building a true legacy. If you’d like to do a bit more of a deep dive into company culture, be sure to check out the entire episode.
