Hiring great employees for your small business is one of the most effective ways to increase productivity and revenue targets.
This essentially means that you’ll be able to service and reach out to more customers – leaving you with more time to look into new products and potential markets.
Although, hiring is not all that easy.
This is especially true for small business owners who may not have the experience in selecting the right candidates.
Hiring new staff also utilizes both time and money, which is a valuable commodity for small business owners.
In order to help with your hiring process we’ve provided you with four small business hiring best practices below:
1. Define the role
What exactly are you hiring somebody for and what type of skills would they need to be successful?
Understanding this prior to actively searching for your hire allows you to focus on where in your business you need additional help and growth.
Without this type of focus, small business owners will expect the new hire to own all the gaps in the business that they may or may not be qualified for.
Use a task list as a starting point for creating the job description for the position.
2. Find the right places to look
Finding the right candidate is usually a pain point for small business owners.
In fact, the average job posting receives about 250 applications.
Who has time for that?
Treat this like a marketing campaign and target all the places that your candidate could possibly hang out.
Your own personal and professional networks, along with social media sites, are great places to start.
3. Hire for cultural fit
Hiring a candidate who shares similar passions and values is not only important for the small business but also for their own professional growth, productivity levels, and morale.
Make this one of your hiring priorities, unless the role requires a very specific type of skill set.
4. Conduct a background check
It’s in your best interest to keep a safe work environment and maintain a healthy brand reputation.
It’s not worth taking a risk on one bad hire.
According to the United States Department of Labor, the estimated cost of a bad hire can exceed 30% of the employee’s annual salary.
This means that a bad hire earning $50,000 annually could cost an employer more than $15,000.
Conducting a background check on your future hire helps you protect your organization’s reputation and can help mitigate the risk of workplace theft or violence.
Small businesses are increasingly adopting employee background verifications as part of their hiring process in an effort to reduce risks and improve workforce safety and quality.
If you’d like to learn more about the best practices in background checks and be able to benchmark your organization against other small businesses like yours, then take a look at the latest data from our 2016 Small Business Spotlight Report.
Download: The 2016 Small Business Spotlight Report
2016 Small Business Spotlight Report
Best practices and trends in background checks for small businesses.