Hiring your first employee should be exciting, because it means your idea is succeeding. The additional staff will allow your business to cope with increase in workload as it grows. However it is important that you only take on employees once your business has the cash-flow to support the additional expense or it might cause financial problems for the business. The hiring process must be done carefully in order to make sure you are comply with the legal responsibilities that come with taking on staff.

Once you have decided that you are ready to take on staff, then there are a series of questions that need to be answered before you can begin the process. You need to identify ahead what type of person you are looking for both in-terms of skills, experience and personality, so you hire someone that fits your businesses culture and values.

Decide how much can you afford to pay them, they must be paid at least the national minimum wage. Next you have to decide whether you are going to hire a full time, part time or contract staff. Each has their pluses and minuses, but the decision will ultimately depend on your business plan.

Recruitment Agency, or Do-It-Yourself:

To find the your first employee, you have the choice between using a recruitment agency, which you will have to pay for, or doing it yourself. As it is your first employee it can be a good idea to use an agency because they have experience with all the legal and financial aspects of finding and employing staff.

If however you can’t afford an agency and you have to do it yourself there are a few things you can do. First you need to create an attractive job advert, then you can use a combination of social media, the job centre and free job boards to get the word out.

Background Checks & Contracts:

Next comes the process of going through all the applications in order to find candidates to call for interviews. Make sure they can legally work in the UK, and be sure to get references. Also conduct any other background checks that may be necessary such as DBS (The Disclosure and Barring Service).

After selecting the right person for the job, there are a few other things that need to be done before they can start. You need to give your employee a written statement of employment and an employment contract detailing things such as their responsibilities, salary and holiday entitlements.

You can hire a lawyer to draw up the employment contract and the statement of employment.

Protecting Your Business & Staff:

It’s then time to sign up for employers liability insurance to protect your staff from injury or illness, and to protect your business from any employee claims. Register with HMRC as an employer and enrol your new member of staff into a workplace pension scheme. As an employer you must also comply with all the necessary health and safety regulations so that the working environment is safe.

Payroll:

Once the hiring process is done and your new team member has begun, then it is a good idea to hire a bookkeeper or accountant to handle your payroll duties. They will ensure that all the paper work is completed in the proper way and on time.

Training & Skill development:

Now your new member of staff is can start work. It is important to keep staff happy as they are your most important asset, make sure the working atmosphere is happy and stress free. Invest in continued training and skill development, and be sure to include regular performance assessments as well as reviews of salary and employment terms.

Strive to have the best employee/employer relationship you can, with trust and plenty of open dialogue. Treat your staff with respect, make them feel a valued part of a team and they will reward you with loyalty and productivity.