How-To Series for Small Business: How to Build a Strong Team

According to the Small Business Administration, any company with fewer than 500 employees is categorized as a small business. This description includes roughly 99.7 percent of the organizations operating in the U.S.

Managing a small business comes with many benefits, including the potential for financial rewards, growth and freedom. But it also comes with its own unique challenges, particularly for those who are newcomers to the business world.

We’re sharing insights and how-to’s for small business owners on our blog. Our first post in the series focused on how to track employee time. Now, we’re diving into how to build a strong team.

When to Hire Employees as a Small Business Owner

The first thing to consider is when to start bringing on employees. When you started your business, you may have had partners or people who supported you in your efforts. But as the dust settles and the organization experiences growth, you need paid employees who can take on the everyday tasks of managing the workload.

Some of the most telling signs that it’s time to hire include:

• Declining customer service levels: When employees can’t dedicate their time to employee needs, the business will suffer. Customer service is vital to the success of any organization, and you need to make sure that customers are receiving attentive, prompt, and professional service when they reach out. Bring someone onboard before these customers become frustrated and move onto another company that can meet their needs.
• Turning down new business: If your organization can’t take on new opportunities, you need to consider how to reverse course. Additional team members can provide the support needed to ensure consistent growth.
• Increasing absenteeism: When employees feel burned out or overworked, they are more likely to take time away from the workplace. Make sure to focus on the needs of your current workforce when determining whether to bring on additional staff members.
• Performing low-value tasks: Business leaders shouldn’t waste their time performing low-value tasks. When you or other members of your team take on administrative tasks, it’s time to consider bringing on a lower-paid employee who can handle the work. Freeing up leaders’ time to focus on growth and innovation will only benefit your business.

Why Hiring the Right People Matters

Whether you’re hiring your first employee or backfilling a vacated position, it’s essential to understand the value of finding the right person for the job.

By the numbers

On average, the cost per hire is nearly $4,700. For a small business budget, that estimate can feel astronomical. But when you extend an offer to someone who isn’t a good fit, whether due to a skills gap or a poor fit with the culture, you could end up spending that money multiple times.

When employees leave, their absence comes with a cost as well. Declining productivity, a drop in team morale, and challenges with backfilling can all impact the overall success and culture of your small business. Investing in finding the right hire, every time, makes a big difference in your employee retention rates, as well as the overall vibe in the workplace.

How to Maximize Hiring Efforts

As the owner of a business, you likely find yourself wearing a lot of different hats. One day, you might be the CEO, making decisions that impact the future of the organization. The next day, you might be reviewing applications for open positions. It’s important to maximize your efforts by taking advantage of all the tools at your disposal.

Explore our tips to maximize your efforts and build a stronger team for your small business success.

Look for people who align with the culture

Instead of just hiring for skills, look for people who align with your company culture. And if you aren’t sure what the culture looks like, identify what you want the atmosphere of the workplace to be and take steps to achieve it. Hiring good cultural fits goes a long way toward keeping employees around and satisfied in their roles.

Create a supportive environment

It’s hard to achieve success if your people don’t feel supported. Take the necessary steps to provide employees with what they need to achieve their goals and do good work every day. A high-performing team is fueled by recognition and mutual respect.

Utilize tools to reach a wider audience

Your business can’t function without good people. But if you can’t get open positions in front of a wide range of people, you may not get many applications, which makes it a lot harder to build a strong team. Explore the tools available at your disposal to simplify the hiring process while reaching more potential applicants.

WorkforceHub is the time, labor, and hiring platform built for small businesses. It’s easy to use and affordable, yet packed with features to find, sort through, communicate with, and bring on talented individuals. If you’re not currently using WorkforceHub, check out how it can help you in your efforts to build better teams and fill open roles.

Explore new interview questions and techniques

It’s hard to learn a lot about someone if you don’t ask the right questions. Consider how you conduct interviews and what you could change to gain better insights into cultural fits, rather than simply learning about an applicant’s skills. Set clear expectations and use the interview process to determine whether a potential new hire would work well on the team.

Building a strong team is vital in achieving success as a small business owner. This guide can serve as your starting point to bringing on new hires and providing a supportive and collaborative atmosphere.