It’s never been easier to hire independent contractors or employees. In today’s business world, all it takes is a few clicks of the mouse and a reasonably small fee to list an open position with your company. But should you have a team in place before you create your business? Here’s a quick spoiler alert for you: no, you shouldn’t.
Unless you are extremely wealthy, having a team in place before you create your business will be a drain on your company’s cash flow and will undoubtedly cause unnecessary stress for you as the owner. It might also be the very thing that sinks your business.
How to develop a team for your business
I’m Neil Fridman with the Fridman Law Firm PLLC. Today, I want to discuss how you should approach developing a team for your business. We’ll start with your long-term vision for your business. Business owners and employees can put too much value into an organizational chart, but it definitely is a tool that can serve you well as you start your business.
However, the key here isn’t who will fill each role, but rather which roles are key to your success early on. As the owner of the business, you will most likely be heavily involved in the day-to-day operations. Your goal in this process is to be objective about your strengths and weaknesses, and, if possible, pencil yourself into multiple roles that you know how to handle.
Outsourcing vs. hiring
Certain positions, such as IT and accounting, can be outsourced until your company has grown enough to bear their costs. But positions critical to the company’s success should be invested in early on. For example, once your organizational chart is complete, you have a clear roadmap that tells you and your management team which positions are the company’s top priority.
Strong leaders for core functions
This will allow you to choose leaders for important core functions when it’s time. Be sure to choose strong leaders. As to what those core functions are specifically, your business will have different needs depending on what industry you’re in.
What to invest in
For example, if you’re starting a digital marketing company, you may be able to rely on online ads to build your clientele. To do that, invest in a solid graphic designer with strong copywriting skills as your first employee.
On the other hand, if you’re starting an HVAC company and have experience on the service side, you should hire someone to facilitate the office on a day-to-day basis, and then begin looking for your next HVAC technician.
Investing in digital marketing and search engine optimization will also be very important for your company. When you’re getting started, hiring the right people to fill the most important roles will determine your success.
Guard your culture
You always hear business gurus talk about culture, but few people truly know how to get it right. When I talk about company culture, I’m talking about the beliefs and behaviors of both you and your employees that determine how you serve your customers and handle transactions.
Beware of bad apples
The biggest mistake many new business owners make when it comes to their culture is letting one bad employee ruin things for everyone else. A negative or unethical employee, no matter how good they may be at their job, can tank your online business rating and ruin the experience for multiple customers. As a startup owner, this is simply something you can’t afford.
When you’re choosing the team that will help build your company, I encourage you to take your time. If a bad employee finds their way into the mix, you should remove them as quickly as possible.
Every business and every business owner is different. When you look at your business from a 30,000-foot view, it is important that you understand your own strengths and weaknesses, and have a clear idea where you should invest your startup capital.