Preparing for your first hire
As an entrepreneur, it’s so easy to get bogged down in the day-to-day running of your business, doing #allthethings. However, at some point in your journey, the only way to grow and scale is to start to delegate some of the day-to-day tasks to someone else. If you’ve reached the point where you’re considering your first hire to help with the current workload, congratulations! To get you started on the right track, here are 8 steps you can take to prepare for your first hire.
Step 1: Check your region’s laws and regulations
Before you even begin to hire, you need to have a general understanding of the difference between an independent contractor and an employee in your province or state. Each role has specific guidelines to follow and you need to be aware of what those nuances are.
While I do not profess to be a lawyer or legal expert, a general rule is that employees are expected to work in set places and times and complete tasks according to your business’s policies and procedures. On the other hand, an independent contractor may set their own hours and work location and is responsible for accomplishing their tasks how they wish in order to meet client expectations.
Step 2: Know your financial numbers
Before you tell anyone you are hiring (or even move on to any of the next steps), you need a clear picture of your budget. How much can you afford to pay this new hire and still make a profit? If your revenue is not steady from month to month, can you still afford the new hire? In order to know with certainty, you need to look in more detail into your profit and loss statements. What is your current profit margin, and how would adding an extra monthly expense change it?
Step 3: Clearly define your processes
Now that you are clear on what type of role you are looking to hire and what you can afford, it is time to define what this new hire would do for you. What processes are involved in your daily operations that this new hire can take on? I suggest you make a list of all the routine tasks you are currently doing. You may need to track this for a few days in a row as you are going about your usual work day, documenting which recurring tasks you are doing. For example, you could have tasks such as social media posting, invoicing, podcast editing and publishing, responding to customer inquiries, etc. Once you have your list, go through the list and put a dollar sign beside any tasks that are income generating; ones that directly affect your bottom line. Also, put a star beside any tasks that you dislike doing, you shouldn’t be doing, or are a big time-suck for you.
Step 4: List one-time tasks
Here you are going to create another list; this time of one-time projects or special activities that you want to delegate. Perhaps you need help preparing for an in-person speaking engagement or the online virtual summit you want to host in quarter 3 this year. Consider all limited-scope projects where a virtual assistant could add value and save you time.
Step 5: Define contract terms
Contracts, contracts, contracts… yes, you should have a contract prepared and signed before any work begins. Contract terms help set work expectations and define the areas you want to negotiate, such as budget, time zones, rules around termination etc. You need to spend some time thinking about whether you want a virtual assistant who charges you hourly or one who provides project-based pricing. Does it matter to you what time zone they live and work in? These are questions you will need to ask yourself before embarking on a contractual agreement with a new hire.
Step 6: Create job description, application and possible test project
This is an important step that many online business owners miss and pass by. Creating a job description is an important step so you can be super clear on the role, expectations, payment, hours etc. A job description and application also helps you to narrow down a list of qualified candidates. If someone clearly does not have the skills required for this position, they likely will not bother taking the time to fill in the application. Before you dive into hiring a virtual assistant, it’s a good idea to try a test project with your top candidates. A small project allows you to evaluate their work and see if they are a good fit without a significant financial commitment.
Ensure you include your core values on the job description as well. You can train and mentor a new team member in a certain skill set, but it’s much more difficult to teach your values to a team member. A values misalignment can cause real friction in the relationship and usually does not end well.
Step 7: Onboarding
Preparing an onboarding list before you hire your new team member will make the transition to working with you so much easier. If you currently have a project management tool, this is a great place to house this onboarding project. You will want to include things such as completing any tax documents, any reporting requirements, team introductions, information about your current business model, brand color and font guide, and other relevant activities for starting work with your business.
Step 8: Be available
Yes, I get it. You are hiring someone because you have no time on your hands and are at full capacity or maybe more. Although hiring a new team member will save you time and lighten your overall workload down the road, you may not see the immediate effects of this on day 1. You will need to set aside time to assign work to the new hire, communicate expectations, answer questions, coach, and review work. Frequent check-ins and ensuring your new team member has an appropriate workload can reduce friction down the line.
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I hope this post was helpful for you in deciding what to do on the way to hiring your first employee or contractor. I know that you’re a busy entrepreneur, but I advise you to take the time to prepare for this new hire properly, rather than hiring the first human being you find. This will make the process easier and clearer for both you and the new hire. It will be a win-win for everyone!
