Skip to content

Day Off

How to hire your first employee?

  • by

During the initial period of your business, you somehow managed to work by yourself just for saving the expenses of an employee. With the advancement in technology a laptop, phone, and internet connection are enough to handle even large-scale business. But for some scale businessmen or we can say, it is important to hire people who can give hand in their work and help the company get growing.

Most importantly, you should know, what is the right time to hire an employee for your business? You should be a good employer that is busy enough that you have to refer your customers to another person. Your financial conditions must be strong enough to handle all the expenses of your employee.

Before hiring your first employee, you should ask some questions to yourself because you just can’t follow your instincts and start hiring people for your company. Because this the first most reason of the failures of startups is that the entrepreneur doesn’t realize about the need of a person that it is necessary or not and starts lacking the funds which can be saved for the business.

The following things should be kept in mind before planning to hire your first employee;

Financial stability

 Your Company must be financially stable before planning to hire an employee. For hiring, you have to spend for advertising about the post for which you are seeking an employee to work on.

While hiring an individual for your company offer only that much money, which is either less or more according to his or her qualifications or abilities. The amount of money you are offering should be decided by the funds you have for your company. When you hire a person you have to pay him, according to the pay you have offered in your advertisement. There will be some additional expenses like employee insurance, availing a workstation, new computer, etc. which you have to handle on your own.

Cash flow must be continuous because you can not make your employee wait until you get payment from your customers. You have to give paychecks on time and for a temporary solution, you can get some loan for giving the paychecks to the employee you hired but remember it is just a temporary solution. 

Attained certain growth in business

In the starting stages of a business, it is difficult for an entrepreneur to get enough clients. There are a lot of ups and downs a business has to face. You have to be certain about little things like on what stage should I hire an extra set of hands to work for me and help me in taking steps towards growing the business.

If you have enough work which you can handle by yourself, then hiring some other person can lead you towards the shortage of funds which you efficiently use for your business. But if have some good clients and a continuous flow of work and cash that being solo you have to refer your clients to some other person then it is the right time for your first hiring.

All you have to decide is what is your weakness and the first employee you are hiring for your company is overcoming it and helping you in handling your clients efficiently or not.

Find someone with determination and resources

Hiring your first employee will be much different from others. Your first employee must have the courage to face any problem with full determination and be active enough to take you out of the problems with instant solutions to offer you.

Besides the work experience, you are going to need someone who stood by your side in the starting phase of your business. The startup has so many ups and downs that this bouncy ride is going to be tough, but the one with determination and the brain to use his resources to take you out of the problems will make your ride towards success a little easier for you.

Only your first hiring is going to decide the culture of your company in the future period and how the company tackles the new situations they face with tactics.

When you have decided the things you are going to see before planning for hiring your first employee these are the following steps you have to follow during the hiring.

Get your EIN number

The first step while hiring your first employee is to get an EIN number i.e Employee identification number, which helps you to tax returns and for document submission to govt. authorized body.


You have to hold some of the employee’s pay for paying the employee tax, medical insurance, and social, payment on time. Once you hire an employee, you will be the only one responsible for paying his medical payments.

Get your company insured

In the company where the employee will be doing manual labor, it is a must to have your company get insured which covers your employees too.

Hiring your first employee is very important and helps to establish a strong base for your company so don’t take it lightly. 

Post the opening with the job description

When you are done with keeping your taxes and funding in the row, then here comes the most exciting part of hiring your first employee. A lot of eligible candidates will visit you for the post which is available. 

You have to write the description of the post that you are offering to your first employee and it must be detailed very well. You can post your job opening on the famous platforms available nowadays. Choose the site precisely so that you can get the employee looking for the same background you need.

Interview & Hiring

Here comes the final round for hiring your first employee. Get ready the interview the eligible candidate. First, get ready with the questions and make sure that you ask the same questions to all the candidates so that you can check the mindset of all the candidates. While interviewing, you should learn about all the candidates and their backgrounds. Make sure you conduct a fair interview process. 

Hiring your first candidate is a crucial step for your business because this first employee can be your backbone during the ups and downs of your business so select a candidate who has a sense of responsibility and courage to stand by you always.