Tips for Making the First Hire as a Start-Up in South Africa

By Mmasetena Nyatlo, Product Head for SME Banking at TymeBank

As a business owner, making that first hire can be extremely daunting. But it’s not just salaries and wages that you have to consider – depending on your resources, you may have to get directly involved in skills training, human resources administration and creating the right environment for your employees to be motivated and productive. But it’s an investment worth making for your business and the broader economy, particularly when you consider that the official unemployment rate is now 33.5 %, up from 32.9% in the first quarter of this year.

Making the right choice 

It is always tempting to choose friends or family when you’re looking to hire. However, that has its own challenges, particularly if they don’t perform according to your expectations. As with every other aspect of your enterprise, it is key that you do your homework. Before beginning the search, write a detailed job description – there are a lot of examples online to assist you. Then, when it comes to advertising the position, there are several alternatives to using an employment agency, particularly if you don’t require specialist skills.

For example, you can search for potential employees on SAYouth – a free, zero-rated online platform which connects work seekers to earning and learning opportunities. SAYouth is a collaboration between government, business and civil society and forms part of the Presidential Youth Employment Initiative (PYEI). Operated by Harambee Youth Employment Accelerator, it is an easy and efficient way to recruit candidates for entry-level roles while contributing to youth employment.

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Once you have a list of candidates to choose from, you should create a shortlist of those who appear to be a good fit based on their CV. The next step is to interview them.

If you are not using an employment agency that can do the initial interview, it’s wise to have an initial call or video chat, rather than an in-person meeting and then find a way of testing their skills to see if they can do the job.

As a startup you do not want to hire anyone who can’t do the work. However, experience is not always a must. Depending on the requirement, it may be smarter to employ someone with the right attitude who is eager to learn. And there are literally millions of young job seekers who could fit the bill. This means that experiential learning, apprenticeships, or other forms of workplace experience go a long way in helping a candidate secure a position. This is why it is essential that you test your candidates first before making any hires. 

Tight contracts 

Even when your first hire is made, and you feel confident that you have made the right choice, it is intimidating to have someone under your wing.

Importantly, you need to make sure you have the right paperwork in place before bringing someone into your small business. If you don’t have the right terms in your employment contract, such as resignation notice, sick leave or maternity leave allowances, or an exit clause, you could be in for an expensive ride if the hire does not work out.

Contributing to getting SA back on its feet through job creation

As a startup ready to grow, even by one person, it is a very exciting time. Scaling your business means more revenue which can be reinvested or turned into profit. But be careful about bringing someone onboard before you have done your due diligence.

Granted, good help is not always easy to find, and you’ll likely pay some school fees in your early years. But ultimately, you’ll get the knack of it and building your team will become easier as you create one job at a time.

- Advertisement -

As a business owner, making that first hire can be extremely daunting. But it’s not just salaries and wages that you have to consider – depending on your resources, you may have to get directly involved in skills training, human resources administration and creating the right environment for your employees to be motivated and productive. But it’s an investment worth making for your business and the broader economy, particularly when you consider that the official unemployment rate is now 33.5 %, up from 32.9% in the first quarter of this year.

Making the right choice 

It is always tempting to choose friends or family when you’re looking to hire. However, that has its own challenges, particularly if they don’t perform according to your expectations. As with every other aspect of your enterprise, it is key that you do your homework. Before beginning the search, write a detailed job description – there are a lot of examples online to assist you. Then, when it comes to advertising the position, there are several alternatives to using an employment agency, particularly if you don’t require specialist skills.

For example, you can search for potential employees on SAYouth – a free, zero-rated online platform which connects work seekers to earning and learning opportunities. SAYouth is a collaboration between government, business and civil society and forms part of the Presidential Youth Employment Initiative (PYEI). Operated by Harambee Youth Employment Accelerator, it is an easy and efficient way to recruit candidates for entry-level roles while contributing to youth employment.

- Advertisement -

Once you have a list of candidates to choose from, you should create a shortlist of those who appear to be a good fit based on their CV. The next step is to interview them.

If you are not using an employment agency that can do the initial interview, it’s wise to have an initial call or video chat, rather than an in-person meeting and then find a way of testing their skills to see if they can do the job.

As a startup you do not want to hire anyone who can’t do the work. However, experience is not always a must. Depending on the requirement, it may be smarter to employ someone with the right attitude who is eager to learn. And there are literally millions of young job seekers who could fit the bill. This means that experiential learning, apprenticeships, or other forms of workplace experience go a long way in helping a candidate secure a position. This is why it is essential that you test your candidates first before making any hires. 

Tight contracts 

Even when your first hire is made, and you feel confident that you have made the right choice, it is intimidating to have someone under your wing.

Importantly, you need to make sure you have the right paperwork in place before bringing someone into your small business. If you don’t have the right terms in your employment contract, such as resignation notice, sick leave or maternity leave allowances, or an exit clause, you could be in for an expensive ride if the hire does not work out.

Contributing to getting SA back on its feet through job creation

As a startup ready to grow, even by one person, it is a very exciting time. Scaling your business means more revenue which can be reinvested or turned into profit. But be careful about bringing someone onboard before you have done your due diligence.

Granted, good help is not always easy to find, and you’ll likely pay some school fees in your early years. But ultimately, you’ll get the knack of it and building your team will become easier as you create one job at a time.

- Advertisement -

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