Making a bad hiring decision can cost your small business precious time and money. Read these five tips for making the best hiring choice you can beyond looking for qualifications and experience.

Making a bad hiring decision can cost your small business precious time and money. Read these five tips for making the best hiring choice you can beyond looking for qualifications and experience.

 

1. Talk with a business advisor

Talking with a business advisor can really help you figure out how best to grow your small business, especially when it comes to hiring a new employee. Perhaps you are a one-person business and are looking to hire your first employee, or maybe you’ve made bad hiring decisions in the past and want to know how to do it better this time. Check out Pacific Community Ventures’ free business advising for a personal mentor to help you hire.

2. Decide what kind of help you need

As as small business owner, you don’t have unlimited funds to hire a large team of full-time employees with generous benefits and long work hours. Get creative and stretch your capital by hiring part-time workers, contractors and freelancers, and interns. If you need help with finances, consider consulting with your business advisor and outsourcing tasks to independent contractors as you need them.

3. See how well a candidate will fit in with your business

Company culture is a buzzword in the business world right now, but there is reason behind the popularity. It isn’t enough to select a candidate who qualifies for all the skills and experience you want to see, you need to make sure they will fit in with your business. If you are in the final interview stage, invite them to a team lunch and ask your other employees what they think of the candidate. Does this person believe in the same principles your business stands for? Does their working and learning style mesh with yours? It’s important to the success of your business that you have a team that respects each other and can work well together.

4. Make sure a time crunch doesn’t impact your decision

Hiring the first qualifying person who applies for your job posting because you need the position filled quickly can be a costly mistake. If you make a hasty hire, there is a risk that they don’t work out, and you will have to repeat the hiring and training process. Choose quality over quickness. Take the time to really make sure the candidate is the best fit for your small business by checking references, running a background check, interviewing other applicants for comparison, and thinking the decision over a few days before you hire them.

5. Check diversity among your employees

If you are having difficulty choosing between two really great candidates, taking a look at your current employees will help. Everyone has biases whether or not they are aware of them. Take a look around at your other employees – do you have a diverse group or are they all the same demographic? Having a diverse group of employees of different genders, ethnicities, ages, and other factors will boost the productivity and creative pool for your small business. Take a look at our blog post for a few tips on how to manage diversity and how it benefits your business.

 

For information about Opportunity Fund’s small business loans, please contact us at 866-299-8173 or loans@opportunityfund.org.  For questions about your existing loan or other customer service questions, please contact us at 866-299-8173 or sbhelp@opportunityfund.org.


Opportunity Fund is tackling economic inequality so that hard work and perseverance means a shot at getting ahead, not just struggling to get by. Our programs are supported by a community of donors and investors whose contributions help to fund small businesses, support college students, and build stronger families and vibrant neighborhoods. Since 1994, the team has deployed $600 million and helped 20,000 families earn, save and invest in their own futures. Opportunity Fund has earned a 4-star rating from Charity Navigator, America’s largest independent charity evaluator, for our commitment to accountability and transparency.

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