In April of 2009 we moved our home-based business into office/warehouse space and haven't looked back.
When is it time to make that leap? Local ordinances will tell you that you need to make that leap once you hire an employee. Houses are generally zoned as residential and when you a hire an employee then your house is being used in a commercial endeavor. So unless you are zoned for it then it is time to go commercial. We were running out of space to store inventory and we needed to hire an employee, so we made the leap.
When is it time to hire that first employee? I prioritize my days, weeks, months, quarters and year with lists. What do I need to get done today, this week, this month, etc. When the important items on your lists aren't getting done because you are bogged down by the daily duties of running your business, then it is time to hire an employee.
For example, I found that I was spending a great deal of time filling orders and answering the phones to take orders. This is a great problem to have and certainly essential to the success of my company but it was keeping me from doing the things that would expand my business. You hire for the tasks that can be performed by an hourly employee and do the more costly duties yourself. Hiring that first employee will end up making you more money.
Hire your first employee part time. If you are worried about taking on additional overhead then hire your first employee to work on a part-time basis. Part-time employees usually have a flexible schedule and you can cut the day short if it is slow. My first employee worked part time, but it wasn't long before I needed more hours from her. In fact, she left because I needed too many hours from her. In retrospect, I should have had a clearer picture of what was needed for that position.
Define the position you need to fill. Before you start looking for an employee, make a list of all the duties that you want to delegate and look for someone with those skills. I recommend holding legitimate interviews and not simply hiring a friend or a friend's friend. Put the word out through friends, the Chamber and Craig's List. I put the final candidates through a personality test. This may not be necessary for a part-time employee but when you start hiring full-time employees, I definitely recommend it. Once you get good employees, you'll wonder how you did it without them. Good luck!
Joe Patterson, founder of Toe Sox, can be reached at (760) 476-3487.
When is it time to make that leap? Local ordinances will tell you that you need to make that leap once you hire an employee. Houses are generally zoned as residential and when you a hire an employee then your house is being used in a commercial endeavor. So unless you are zoned for it then it is time to go commercial. We were running out of space to store inventory and we needed to hire an employee, so we made the leap.
When is it time to hire that first employee? I prioritize my days, weeks, months, quarters and year with lists. What do I need to get done today, this week, this month, etc. When the important items on your lists aren't getting done because you are bogged down by the daily duties of running your business, then it is time to hire an employee.
For example, I found that I was spending a great deal of time filling orders and answering the phones to take orders. This is a great problem to have and certainly essential to the success of my company but it was keeping me from doing the things that would expand my business. You hire for the tasks that can be performed by an hourly employee and do the more costly duties yourself. Hiring that first employee will end up making you more money.
Hire your first employee part time. If you are worried about taking on additional overhead then hire your first employee to work on a part-time basis. Part-time employees usually have a flexible schedule and you can cut the day short if it is slow. My first employee worked part time, but it wasn't long before I needed more hours from her. In fact, she left because I needed too many hours from her. In retrospect, I should have had a clearer picture of what was needed for that position.
Define the position you need to fill. Before you start looking for an employee, make a list of all the duties that you want to delegate and look for someone with those skills. I recommend holding legitimate interviews and not simply hiring a friend or a friend's friend. Put the word out through friends, the Chamber and Craig's List. I put the final candidates through a personality test. This may not be necessary for a part-time employee but when you start hiring full-time employees, I definitely recommend it. Once you get good employees, you'll wonder how you did it without them. Good luck!
Joe Patterson, founder of Toe Sox, can be reached at (760) 476-3487.