HR in Small Business  

The first few years of a small business operation are critical and challenging.  Until early milestones are met, success looms in the shadows.  There are plenty of obstacles to overcome in the early years.

If you want to use your Human Resources background in a small business, it will be a challenge if the company is newly formed.  Human resources are often overlooked in the early years. Neglecting recruiting, training, and regulations can ruin a small business.  You may be the only staff person in HR so it is prudent upon you to warn management of these pitfalls.

The most costly expense to a small business in human resources is hiring the wrong person.  Often in trying to get things running a position is filled quickly.  If it is a bad hire, trying to rectify the situation can be costly.  If you have to fire a bad hire it can turn costly with employee demands and potential lawsuits that can be brought against the company.

Employees are the core of any company but more so with a small business.  Anyone that HR hires may be interacting with a large portion of clients and staff.  It is worth your time to hire right the first time.

After the right employee is hired the next step often ignored by a small business is training.  Encourage management that investing in training employees will keep a small business competitive.  Training and education also keeps employee retention high and morale up.  You will create more overall job satisfaction.

The government never makes it easy for a small business owner.  Ignoring government regulations when it comes to employees is costly.  When you work with HR in a small business you will need to spend many hours keeping up with these regulations.  Fines and penalties can be staggering.

If a company doesn’t have an employee handbook you may be asked to create or update an old copy.  A company handbook can alleviate many problems before they start.  Most employees appreciate a handbook because many questions will arise after employment. It will make your job easier because not every employee will be at your door asking questions.


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