All startups face significant challenges, but one of the hardest to deal with is knowing when to take on an extra role yourself and when to hire someone new. It can be a delicate line to toe when you have to balance finances with need.
If you are finding yourself in a similar spot, read on for four signs you’re ready to recruit more people for your startup.
1. There is too much work and not enough manpower.
The most obvious sign that you are ready to recruit more people for your startup is just that there is too much work on the current employees’ plates and you need an extra brain to get through everything.
One of the most challenging aspects of running a startup is knowing how many people to employ with your budget (that is why most startup founders find themselves wearing multiple hats for quite a long time). However, if you are struggling to keep up with business and it is impacting your growth, then you certainly need to consider hiring an extra person or potentially multiple people.
Keep in mind that you want to be recruiting people who are skilled in the areas of the business in which you need assistance. Look at both your short-term and long-term needs and enter the recruitment process clear about your requirements. It will be pretty pointless to hire someone who isn’t going to be valuable in a long-term manner.
2. You need help with day-to-day operations.
When your team is small, it can be easy for day-to-day operations to take over the to-do list. When this happens you may find yourself in one of two scenarios: Either you solely have time to focus on the repetitive maintenance tasks, or you don’t have any time to dedicate — both of these are negative places from which to be operating.
If you are finding yourself constantly in this position, then you may want to consider hiring someone who can focus on overseeing these operations. This may come in the form of a personal assistant or an HR person, or even a specialist in marketing.
The point is that you want your top people to be focused on what they do best, whether that is creating, promoting, or developing. Don’t let the mundane tasks take over to the point that you can’t enhance your products or services.
3. There is an apparent lack of knowledge.
Unfortunately, no one is talented in every aspect of running a business. If you are noticing a distinct lack of knowledge in an area of your business, then it is a good sign that you are in need of hiring.
Perhaps you don’t have anyone who specializes in social media, content marketing, shipping logistics, or event planning. Whatever the case, if you are noticing that a lack of knowledge is holding you back, then it is time to look into recruiting.
While you could potentially train a current employee, a lot of times, the sheer total cost of educating someone without previous experience adds up to more than merely recruiting someone with expertise in that area.
4. You have extra money.
The dream of many a startup founder, if you have extra money in the budget, then you may want to consider investing it in new hires. If you are confident in your finances, then look into what the hit would be if you were to expand.
Before making this decision, ensure you are thoroughly assessing your expenditures and budget and weigh the pros and cons of adding to your team. When considering it, keep in mind the potential future growth opportunities that a new role can help generate. Ask yourself whether the costs outweigh the benefits and what value a new employee would bring.
Have you made any recent hires in your startup? How did you know it was time? Let us know your experiences and thoughts about this topic in the comments below!
David Mackenzie, a recruitment professional with over 20 years’ experience in the field and a record of entrepreneurial accomplishment, is Managing Director and Head of HR at Mackenzie Jones. As the Group MD, David is responsible for the overall direction of the Mackenzie Jones Group, including Mackenzie Jones, MumsAtWork, MENA Solutions, Simply Digital and ThinkTech.