Congratulations. It's time to hire!
Your startup business is growing, evolving and transforming before your eyes and it is time to take the next step.
Getting to this point is a huge deal. Forget step, you are about to take a giant leap.
I’m not talking about outsourcing either – I am talking about hiring humans, in the flesh, side by side, ready to join you in your venture. I’m talking about responsibility, delegation and Organisation like you have never known.
People still look at me with disbelief when I tell them that I have two full time employees, working in the lounge room of my apartment.
CONTRACTORS VS EMPLOYEES
Whilst everyone is eager to tell you what not to do, what I failed to find was resources directed towards hiring. What they don’t tell you in the ‘How to Operate a (brilliant) Company’ guide is that there are many contributing factors to consider when hiring staff.
Not only are there financial factors – employment status, pay rate, entitlements – there are legal factors. Legal factors that could potentially butt hurt you and your business.
So, you hired a human. Great.
Now, do you hire them as a contractor or an employee.
I cannot emphasise enough the importance of research and your own research, do not blindly follow the word of others.
According to the ATO (now there's some people that know their shit) a contractor is someone you hire with the ability to subcontract the work, working independently as their own business. Often virtually and using there own equipment.
Someone who pays their own taxes, superannuation and hold responsibility for their own work
Also noted is that a worker cannot work more than 80% of their time for one business and be considered a contractor.
An employee however, must do the work assigned to them by you, so in other words there is not palming off task to others (to an extent.) They are paid either for time worked, a price per activity or a commission and accordingly they are entitled to a whole lotta other stuff too.
Here are 2 articles that saved my skin.
So if its time to go back to the good old fashioned concept of hiring an in house employee – crazy I know, make sure you know what you're doing.
Personally, the outcome achieved from a in-house humans, free speaking, a collaborative space is priceless and it makes your role as boss seem all the more real.