Hiring is often one of the hardest things for SME owners to handle as their business grows. It takes time, money, and trust to build a great team, and that’s challenging when you’re also juggling operational tasks and customer demands.

Entrepreneurs are understandably passionate about the business they have built, making it difficult to relinquish control, even though they know it’s necessary to scale their vision. There is a lot of pressure to make the right decision, especially when you need people fast and the hiring process is expensive. Plus, hiring requires a lot of time – from crafting job descriptions and conducting interviews to onboarding and training – which can be overwhelming. 

I have been lucky with Plug, having had many staff members since the start; however, you must keep a clear head and be honest with yourself. I have trialled people who were not the right fit, so we didn’t take it any further. It can be tempting to ignore the problem and try to make things work, but in reality, this will cost your business in the long run. Use the probationary period wisely to assess their job capabilities and how they gel with the rest of your team. 

Unfortunately, some candidates overplay their skills or exaggerate their experience; therefore, a trial is important. One trap SMEs fall into is hiring people from larger companies because they assume they are more capable. This is risky for several reasons. It is often easier to hide in large organisations where knowledge gaps might go unnoticed, whereas that’s not the case in a small company. Moreover, culture and connection are crucial in small teams, and bringing in the wrong person could damage morale.

Hiring less experienced people who you can develop and train on the job is a good tactic to keep costs down. Just be patient and don’t expect to them know everything from day one. Also, don’t expect one member of staff to fill multiple roles or undertake duties for which they don’t have experience. For example, I regularly see business owners hand over responsibility for sales and marketing to someone who has been hired for a different function altogether. The staff members don’t understand what’s required; they get demotivated and disengage, only to irritate customers and new leads. 

If you’re ready to hire new staff, remember the following tips to minimise costly mistakes.

Take time to find the right person: Firstly, don’t hire from a place of panic.When things are busy, it’s easy to rush in and say yes, but hiring the wrong person is worse than not hiring anyone. They must understand your values, the level of commitment you expect, and what you’re trying to achieve so they can also decide if it’s an environment they want to be part of. Arianna Huffington claims she made her biggest hiring mistakes when she was burnout and tired, proving how much your mindset matters as an employer. Ensure you have a standardised hiring process in place and don’t make decisions based on emotion.

Effective onboarding creates powerful ambassadors: Your staff can greatly impact your reputation. When you bring people in, think carefully about how you can give them the best possible experience and develop lasting loyalty with a structured onboarding programme. As part of that, talk about your long-term vision, how they can contribute to meeting those objectives, and what benefits they will receive. Set clear milestones on their career path with regular scheduled assessments, and let them know your door is always open. 

Invest in upskilling: Things can change quickly in a small business and you want team members who are motivated and adaptable. Low employee engagement is a global challenge and supporting people’s skill development boosts productivity, creativity and retention. All of these things help your business stay ahead in a competitive market. Acquiring new knowledge also reduces errors and encourages creative problem-solving. When an employee leaves, it can cost up to twice their annual salary to replace them, so focusing on internal talent development makes sense all round. 

It’s not always easy to find good talent. However, with a proper strategy and careful consideration for everyone’s needs, your business will benefit from more sustainable, long-term success and an improved bottom line.