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3 Signs It’s Time to Hire Your First Employee
Blog / HR / Dec 19, 2022 / Posted by Melanie Musson / 25

3 Signs It’s Time to Hire Your First Employee


mIf you’ve started a business and things are going well, but you’re feeling overwhelmed, you might be considering the possibility of hiring an employee. But you’re probably also thinking through the responsibilities of an employer.

Will you have to pay for small business health insurance? Do you have enough income to afford another salary? These and many other questions are probably making your decision challenging.

Read on for signs it’s time to hire someone and tips for making it a smooth transition.

Sign #1 – Your Time Is Filled With Minor Tasks

You have an expertise that you want to share with the world. But when you do a good job of marketing your service or product, you’ll find that there are a lot of menial tasks. These things must get done, but they feel like a waste of your time.

If you hire someone to handle those tasks, you’ll free up your time to focus on what makes your business special and necessary.

Sign #2 – You’re Working All the Time

Of course, a start-up small business owner should expect to put in a lot of hours. But, at a certain point, you’ll lose all balance in your life. If you feel like your life is your work, it may be time to hire your first employee so that you can focus on the parts of your life unrelated to your job.

Maintaining relationships with your family and friends is essential to your satisfaction in life, so don’t let your job take all your time. Don’t accept overworking as normal. You can achieve a better balance.

Sign #3 – Your Business Is Ready to Grow

You may come to a point where the only thing holding your business back is that you can’t do any more. At that point, you need an employee. You don’t even need to worry about the expense of hiring because that employee will enable your business to grow enough to absorb the cost of their salary.

It may be scary to hire someone and know they depend on you. But it’s a step that must be taken if you want to expand.

Tips for Adjusting to an Employee

Hiring someone to help you out should bring you some relief, and these tips can help make a smooth transition.

You Don’t Need Employer-Sponsored Health Insurance

You don’t have to provide a health insurance plan if you only have one employee. Businesses with 50 employees or more are required to offer health insurance or pay a penalty, but smaller businesses don’t have to.

At a certain point, you may discover that choosing a group plan for yourself and your employees is the best option, but you don’t have to worry about that initially.

You Should Purchase Small Business Insurance

While you may not need employer-sponsored health insurance, every small business should have commercial insurance to protect against unexpected costly events.

In addition to the coverage that business or commercial insurance provides, you should consider the importance of cyber insurance if your company does a lot of business online or you have clients’ personal information stored on your computer.

You Need Fair Pay to Attract Good Employees

A good employee will be worth their pay. But you may find it impossible to hire someone if you’re offering too little. Before you decide how much to pay your employee, research what other businesses pay people in a similar position. Then you’ll have a better idea of a fair starting wage.

You should also work through your budget to plan for responsible growth when hiring a new employee. Perhaps that means you’ll need to start with a part-time employee until a full-time employee can be worked into your budget.

If you find yourself relating to the signs listed above, you give yourself the freedom to grow by hiring an employee. Following these tips will help you find a good employee that you can put your trust in to help you do the best for your business.

About Author

Melanie Musson, a published insurance expert, is the fourth generation in her family to work in the insurance industry. Over the past two decades, she has gained in-depth knowledge of state-specific insurance laws and how insurance fits into every person’s life, from budgets to coverage levels. She specializes in autonomous technology, real estate, home security, consumer analyses, investing, digital security, and business finance.


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