When your business starts to pick up and you feel the need to get assistance to run your operations, you know it is time to hire your first employees. With new individuals in the picture, you lose some level of control over your business and you require taking some steps to ensure that your business remains secure. The following are the five things you must consider before hiring your first employees.
First, you must consider registering your business. Registering your business is in accordance with the law and will facilitate the compliance with other requirements like tax, social security and so on. It is a great foundation that will give your company stability as it grows.
The next thing to do is to acquire a business insurance cover. There are many insurance policies that your business needs to have, but you must include general liability, professional insurance and workers compensation covers in your insurance plan. The workers compensation cover pays for medical bills and salaries for your employees when they get injured or fall ill while on duty.
The general liability cover protects your business from any type of claim that can be made against your company. They are; accidents, injuries, claims of negligence, property damage, medical expenses, libel, slander, legal costs, and faulty products. The professional insurance cover protects your business from lawsuits that may claim that your employees were ignorant in providing professional services, made errors or omissions.
Another essential for your preparation for your first employees is a training program that educates them on how they ought to do their work and the safety measures they must take while on duty. This will do a great job at minimizing the risks that your business will pay for on insurance covers to safeguard itself. Make sure that you keep a file for their training records and include signed sheets for each training module completed. This is proof that you have trained them and you can use it to save yourself whenever appropriate.
Generate contracts for your employees before out bring them in. Employee contracts are necessary to illustrate an employee’s terms and conditions of employment, responsibilities, and rights. It is great document for the both of you because it ensures compliance with all set guidelines.
When hiring your first employees, make sure that you get a competent team. This is important because your interest will be growing your company and having people that know what they need to do allows you time to focus on other things. Competent staff also help entrepreneurs grow and improve their businesses through their input. Ensuring that they are aware of your objectives and principles puts all of you on the same agenda.
Finally, acquire a pay stub for their payments. A pay stub is necessary to explain the particulars of an employee’s salary and helps you to keep records for their payments. It is also evidence that you pay them and indicates what you pay for.