If your business is expanding it might be time to hire more staff, but is now really the right time to invest in new people? Here are 5 questions to help you find out.
Have you evaluated the growth of your business?
Not everyone wants a large business, so deciding how much you want yours to grow is a great starting point. If you’d like to remain personally involved in every facet of its operation as opposed to delegating, then hiring new staff is a large consideration. As you grow a business you’ll naturally become less involved in various parts of its day to day running, so consider which areas of the business you enjoy the most and define new potential roles to be filled from there.
Are you really ready for new employees?
Are you prepared to orient, train and manage new employees? Have you got the correct processes, procedures and organisation in place to handle having new people on board? Consider new equipment, workwear, accessories and even stationary needed before you think of bringing someone new into the business.
Are the roles you need filled clearly defined?
What are you hiring outside for? There may be an existing employee who could take on some extra work or help with another area of the business that interests them. Have you looked at automating any of your processes to make them simpler – like your book keeping for instance?
Have you considered passing on business?
If there’s a new and sudden demand for your service, expanding might seem like the best way to cope, and many times that’s true, but the increase in workload could also be temporary. Until you are fairly sure that there is a need to hire someone new for the long term, why not consider partnering with another trades business and sharing overflow?
What effect will it have on profit?
When growing your business there’s a temporary hit on finances with the addition of new expenditures, including salary, benefits, tax and additional gear and workwear for the job. This can have an effect on your overall profit and even your personal income so before you make the decision, commit to the impact that it will have on your life.
Good luck on expanding! Don’t forget to read some of our other tips for tradesmen blog pieces geared towards helping you get the most from your business.
If you’re in need of equipment for your new recruits, be sure to check out our website for PPE, safety footwear and workwear.