Hiring and keeping good employees is among the most significant investments for any successful small to midsize business (SMB). Knowing how to hire good employees for small business, however, is a skill with which many business leaders and human resource professionals struggle. The importance of hiring good employees can’t be understated; they are the difference between failure and having a successful business that drives your bottom line.
At 4 Corner Resources (4CR), we understand that you care about investing in the right employees for your small business. We also recognize and appreciate that hiring may not be your forte. As such, we’ve put together some tips concerning how to hire employees for small business who will help grow and enhance your organization.
4 Considerations for How to Hire Good Employees for Small Business
In a Forbes article, entrepreneur and venture capitalist Alan Hall shares his recommended categories that every business leader should consider when hiring employees for small business. He calls them the “7 C’s”:
- Competent — Does the candidate have the three E’s? Education, experience, & expertise?
- Capable — Does the candidate have the drive, potential for growth, and willingness to learn and take on greater responsibilities?
- Compatible — Is the candidate someone who will be able to work side by side with others peacefully?
- Commitment — Do you see the candidate staying long-term, or do you think your business is just a brief stop on their journey?
- Character — Does the candidate demonstrate good values?
- Culture — Do you think the candidate will mesh well with your corporate culture?
- Compensation — Does the candidate seem satisfied by the compensation package you offer?
Here are a few additional recommendations for how to hire good employees for small business:
1. Write Detailed and Effective Job Descriptions to Attract Top Talent
Writing a good job description is essential for finding good employees who will be the right fit for a position. After all, if your job description is ineffective, how do you expect the right people to find your job, let alone want to apply for it? The best way to find employees is to create job descriptions that attract the talent you need which also clearly state your expectations of those who will fill those roles.
2. Be Willing to Invest Financially in the Skills Your Firm Needs
Historically, the promise of work flexibility and a family-friendly environment were once significant differentiators for small businesses — some candidates were even willing to take pay cuts to work in those environments. However, these benefits are becoming more commonplace as many large companies now offer remote work options to employees. Today, knowing how to hire employees for small business means understanding how to help your business compete with larger companies effectively for top talent.
To compete, small business employers now need to offer competitive compensation in the form of salaries and benefits. Be willing to invest in the skills, experience, and expertise your business needs to improve and scale over time. This will help you greatly when hiring employees for small business.
3. Don’t Settle for “Okay” Talent; Hold Out for the Right Employees
Hiring employees for small business who aren’t right for specific jobs means that, in addition to the cost of hiring and training them, you’ll also have the additional costs of replacing them and training new candidates. This is particularly worrisome considering that CareerBuilder estimates that nearly 75% of surveyed employers hired the wrong person for a position and that companies lost an average of nearly $15,000 on every bad hire they made in 2016.
These costs are a significant investment for small businesses — underscoring the importance of hiring good employees the first time around. Don’t settle for anything less than employees who always bring their A-game, passion, talent, and energy to your business. You wouldn’t settle for anything less from yourself — why should you settle for less in others? This brings us to our final point:
4. Entrust Your Hiring Tasks to a Professional Recruiter
Using a professional recruiting and staffing agency or a headhunter is a wise investment for any SMB. While you may not be an expert in knowing how to hire good employees for small business, a high-quality staffing professional excels at it. Finding good employees is not just about matching skills; it’s about aligning the goals, personality, and culture of candidates with your business.
A recruiter or headhunter will work with you or your hiring manager to understand the nuances and requirements of a position. This process allows them to gain a thorough understanding of the position and what it entails so they can source, screen, interview, and place candidates successfully. With this in mind, they can help you with contract, contract to hire (CTH) and direct hire placements.
The experts at 4 Corner Resources can help you figure out how to hire good employees. Get in touch with our staffing experts today about our recruiting and staffing services to see how we can help your small business.