Hiring Guide

(How to hire your third employee.)

Whether you’re an entrepreneur straight out of school, or someone coming into business after years of corporate work, hiring is a challenge you face in your business.

Dear Entrepreneur:

If you are reading this page, chances are good that your company is growing. It also means that you are thinking of how you will be able to get the work done.

Does hiring someone you don’t already know make you nervous?

It should. Jack Welch, retired CEO of GE, says:

Hiring is hard work. Hiring great people is brutally hard.

And if finding great employees is hard for GE, with more than 300,000 people, it’s just that much harder when you’re doing it the first (or third) time. Hiring is Hard, the guide to developing a hiring system for your firm, was created to help entrepreneurs turn “brutally hard” into “a system that can be mastered.”

Hiring is a system

Learning how to hire employees is, without question, the hardest part of growing a new venture, and, after lead generation, the most important system you need to create. With good employees, your business can operate without your constant attention, freeing you to develop new opportunities, or simply enjoy the fruits of your labor.

When I had to hire employees without the support of a documented system, it was a disaster. I had no way to know who was likely to be a good candidate, so I picked the people I liked. It did not turn out well.

I had only the most general understanding of employment law. I didn’t know that we should write our own job description for our work, rather than trust the staffing agency to provide candidates with the skills they thought we needed. I had no interview plan, or evaluation matrix. I didn’t even think through what computers and supplies needed to be in place before new employees started work.

Fortunately, this all happened before the recent changes in reporting for Homeland Security, and we had a corporate department to handle payroll. I had no idea of what how much HR took care of.

Now, I’ve created a documented guide that explains all the background and leads you through creating a system that will help you select the right employees for your business from start to finish. I don’t know about you, but I can manage lots of small decisions that are laid out in a logical progression. It’s figuring it all out that’s the headache.

  • After all, couldn’t you fill in the blanks, if the questions were designed to create a job description that helps you find your ideal candidate?
  • Couldn’t you figure out how much a new employee will cost, if you simply had to enter the numbers into a spreadsheet that did the math for you?
  • Wouldn’t it be easier to follow an interview script that was built on the job description you already created?

Why DIY, first, can get better results from a staffing agency

Even if you decide to work with a staffing agency or professional recruiter, you’ll get a better outcome if you understand how the whole process of hiring works. You don’t want outsiders telling you what kind of work you need to have done, just because they have a lot of potential employees with a certain skill set. They’ll make a commission if they place a person with you. Commissions can make it hard to think in YOUR best interests.

I know, fancy executive recruiters tell you that they can link you to high-quality candidates that you’ll never find on your own, no matter how many hours you have to search Linkedin. But can you afford fees that can reach 30% of the first year’s salary?

You may not be looking for executive talent, anyway. Perhaps you have all the executive talent your business needs in your own resume, thank you, and what you’re looking for is help on the front desk, or doing installations.

Hiring can be simple, but not easy

I’m not promising to make the process of hiring an employee easy. It’s never easy. What I can promise is to make it manageable, and logical, and bite-sized, so that you can work on it around the edges of taking care of your clients, and not lose your place as you develop your system.

And now, in the Hiring is Hard: How to Hire Your Third Employee, I can show you how to build a scalable hiring system that will deliver reliable employees for your company. A system that will work now, when your business is still small, and scale as you grow, whether you are an active owner-employee, or creating a franchise with its own systems, or plan on selling the enterprise in a few years. It’s your call.

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Businesses with good systems can support great lifestyles

When that corporate office door closed behind me for the last time, I knew I was in for an adventure.

Running a company is different in so many ways from being an employee (or being in school). My time, my choices, my freedom, what I need to learn about. It’s all different. I was good at doing anything anyone asked of me.

I had to learn new skills to figure out what it was I needed to do, when I was in charge of everything. And what I discovered is that any time I can create a system to follow, the work of running my business gets easier and easier. Just look at all the advantages that good systems provide to owners:

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  • When I know what has to be done next, and how to do it, and where to find the materials or information I need, I don’t need my “best brain” for the task. I can save my best thinking increasing revenue, not solving a problem I’ve already worked out three times before.
  • When your company has a hiring system, you always know what kind of employees you need now and in the near future, so you can keep your recruiting efforts going all the time, not just when someone leaves you in the busy season.

Flexibility

  • When you have effective systems, you can do the work when it suits you, according to your schedule and plans, not when something blows up that you were too busy to plan for.
  • If you decide to sell or franchise your business, systems will attract buyers. Otherwise, all you have is you and what’s in your head, which is much harder to sell.

Paul Hawken, author of Growing a Business and founder of Smith & Hawken garden tool company, says:

A good business has interesting problems, a bad one has boring problems. Good problems energize. Bad problems enervate.

Interesting Work

  • Creating effective systems isn’t always easy, but it is almost always more interesting than solving the same old problem at the worst possible time.
  • Systems design is a great topic for your mastermind group. When you think of your enterprise as a collection of smoothly operating systems, you can cross industry barriers and look for best practices that no-one in your trade is doing yet. You start to see how similarities can be leveraged.

Creating a hiring system is not easy, but in Hiring is Hard: How to Hire Your Third Employee, I show you how to approach it in a logical, step-wise fashion that you can follow in your own time, in advance of need.

In the beginning, you will interview all the candidates who want to work at your company. When your system is in place, your employees will be able to hire their own direct reports without your needing to manage every step.

If you sell franchises, a robust hiring system that finds the right kind of people from the beginning adds to the value of the franchise.

When you know how to describe and select the people you want to work for your business, you’ll discover that there are hundreds of ways to solve the “how to find candidates” problem. And you’ll be amazed at how much easier it becomes to select the best candidate for your position.

Fun

  • Chances are, you started a business because it looked like more fun than the alternative of working for someone else. It’s possible you’ve lost sight of some of the fun as your company has grown and you got busy.
  • Hiring with no guidance is scary, not fun, but hiring with a system can put the fun back into your business. You get to decide which parts you’ll do yourself, and which parts you hire someone to do for you.
  • In my case, the fun part is writing, but I know, you may feel differently. You may prefer to meet new clients, or deliver your services, or design new products to sell.

When it’s your company and you know how to hire employees, you can do all the fun things yourself—and find people who not only excel at, but also enjoy, the parts you hate.

When “virtual” isn’t the answer, and the myth of “passive” income

Yes, I know everyone tells you that you can hire a virtual assistant and not bother with employees. But you already know, or at least suspect, that your firm needs real help, not virtual. There’s no “virtual” installation, or home health care, or running the cash register, or cooking. Your professional association said you can’t have your clients’ work done in a foreign country. Your brick-and-mortar business needs real employees.

Passive income

  • The Holy Grail of making money on the internet is “passive income,” getting money by mail for no additional effort on your part. Maybe you thought you had a shot at it, but what you take home sure doesn’t feel like “passive” income to you!
  • The truth is, few income streams are anywhere near as “passive” as the people who boast about them claim. Big money takes big effort.
  • A good business leverages the effort of its employees to bring in more revenue than workers cost. Good employees are a step toward disconnecting your revenue from your own direct effort.

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Be ready ahead

Hiring is Hard: How to Hire Your Third Employee is a complete, step-by-step blueprint for taking your vision for your business and transforming that vision into job descriptions that attract the right employee for you.

The material is delivered in both PDF and MP3 format, so you can read or listen, or both, depending on your preferred learning style.

In addition, worksheets that take you through the creative process step-by-step are provided for all of the “writing” steps, such as the job description, help-wanted ad, and interview plan.

In Hiring is Hard, you will discover:

  • 20 myths that can derail your hiring. Page 18.
  • 5 objective ways you can tell it’s time to hire. Page 29.
  • Which employees have to be paid overtime. Page 57.
  • How to avoid illegal interview questions. Page 99.
  • Whether you can, or should, hire your spouse. Page 54.
  • Options for paying your employees. Page 56.
  • Places to find employees when the big job boards are too expensive. Page 90.
  • State laws that affect employment. Page 40.
  • When you can offer comp time in lieu of overtime. Page 58.
  • When you should ask an employee to sign an NDA or a non-compete agreement. Page 37.
  • Whether you are ready to be a boss. Page 48.
  • What is negligent hiring and why you should care about it. Page 37.
  • When hiring too slow can be as bad as hiring too fast. Page 30.
  • Whether you can give employees a spelling test. Page 114.
  • When to ask for an application and when you can ask for a resume? Page 55.
  • 5 subjective indicators you need to hire someone. Page 29.
  • What benefits you are obligated to offer. Page 57.
  • The difference between references and background validation? Page 120.
  • How often you must pay your employees. Page 56.
  • 11 Federal laws that govern employment. Page 33.
  • How to hire someone for a job you’ve never done yourself. Page 60.
  • The difference between “right to work” and “individuals who may legally work in the US.” Page 39.
  • Whether you can forbid smoking in your office. Page 58.
  • What a staffing agency can do for you. Page 62.
  • Why it’s not a good idea to hire a beginner and train them to do the job your way. Page 69.
  • How to handle counteroffers from a candidate’s old employer. Page 130.
  • People lie. How to figure out whether someone can really to the work. Page. 108.
  • When to ask a candidate to take a drug test. Page 124.
  • What Homeland Security wants to know about your employees. Page 39.
  • How to use social media is your interview evaluation. Page 118.
  • Why a credit check may not be worth its cost to you. Page 124.
  • The cost of a hire. Page 67.
  • Why you care if an employee has to pay child support. Page 135.
  • When a religious test can be used for employment (hint: almost never.) Page 35.
  • Whether you can fire someone just because you don’t like him or her. Page 41.
  • Why you might want to hire your own children. Page 53.
  • The difference between an employee and a contractor. Page 52.
  • What your “mission” has to do with hiring people. Page 48.
  • Why you should care about turnover, even if you think you can always hire someone else. Page 143.
  • How to use your website to find employees. Page 89.
  • What you should include in a job description? Page 76.
  • How long to allow for a hire (duration and effort). Page 73.
  • Why you should create an org chart before you hire someone. Page 64.
  • Why calling people “contractors” rather than “employees” is a bad idea. Page 52.
  • Whether you have to send a rejection letter if you don’t hire someone. Page 126.
  • When you can’t hire someone to work for you in your home. Page 24.
  • Why it can be a bad idea to hire your friends. Page 31.

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Praise for Karen Tiede’s advice

Ali Luke Ali Luke, of Aliventures.com, says, Hiring is Hard is a comprehensive guide to hiring your first — and second, and third — employee. As a small business owner working alone, the world of hiring has always seemed far above my head. This guide broke the process into sensible steps, and explained lots of pitfalls that I’d have been clueless about on my own. There’s a ton of very focused, concrete advice about the ins and outs of US law, as well as loads of practical tips on how to write job descriptions, conduct interviews and more. A must-read if you’re considering hiring employees — whether or not you think you already know how to hire!

Act now and save 75%

Hiring is Hard: How to Hire Your Third Employee is a complete, step-by-step blueprint for taking your vision for your business and transforming that vision into job descriptions that attract the right employee. And it’s not a superficial overview or “10 Steps” internet page loaded with AdSense ads.

Hiring is Hard is big, at 150 pages, because it tells you – step by step – exactly what you must do to reliably hire employees into your business. By following this simple plan, you can go from solopreneur to successful employer in less than six months, or faster if you need help yesterday.

I am confident that you can be successful. In fact I guarantee it — or your money back!

What will it cost you to create a reliable hiring system? What would you willingly pay someone to come into your office and walk you through construction of a hiring system?

Well, top recruiters routinely charge 20%-30% of first-year salary to place employees, and they don’t even create a job description—you have to do that part. For even a minimum-wage employee, that would be over $3000!

However, it won’t cost you $3,000, or even $500, to have me guide you through creating a reliable hiring system for your business.

The cover price of Hiring is Hard: How to Hire Your Third Employee is a very reasonable $97. But for a limited time only, while the complete guide is in its pre-release period, it’s available for 72% off, or $27.00, a $70 savings off the list price, or what I charge for 15 minutes of my time.

And that’s your investment only if you agree with me 100% that Hiring is Hard has indeed given you the “keys to the kingdom” of hiring effectively.

If what you are planning to hire an employee within six months, why wait? You have a lot of preparation to do now. For less than the price of one Starbucks drink a week, you can be working ON your business, so you won’t have to work IN your business as much!

If Hiring is Hard: How to Hire Your Third Employee doesn’t work for you, it won’t cost you a penny. Here’s why:

Red Tuxedo Good Service Guarantee

I’ve been burned in the past when I’ve purchased products I couldn’t return. I don’t want you to feel the way I did. I stand behind my products.

Here’s the Red Tuxedo Good Service Guarantee: If, after you own Hiring is Hard: How to Hire Your Third Employee, you aren’t happy with the course, let me know, within a year. I’ll refund your money.

Even if you read and listen to the material and decide, “Oh, heavens, she was right, Hiring is Hard! It’s more than I can manage and I’m going to stay solo and work with virtual assistants instead.” OK by me.

You get your money back. If you let me know what you didn’t like about the material, I may be able to point you to a resource that can help you better.

I used to be worried about giving guarantees like this, but I’ve learned that almost no one takes advantage of me. Owners and hiring managers understand that they are responsible for doing the work (you notice, I’m not guaranteeing that your employees will always understand the same thing! but they will if you hire the right ones…).

I totally guarantee your satisfaction with my new guide, Hiring is Hard: How to Hire Your Third Employee. That way, you risk nothing.

For the summer of 2011, the price of Hiring is Hard has been reduced to $7.95.  Yes, that’s low; lower than most eBooks sold on the internet, lower than a lot of products that promise to change your life. I’m planning to change the way I deliver this information in a few months, to a tool that helps you at every step, but that won’t happen right away and you need the information now.

You might be thinking you can come back and get it later, when you really need some one. But don’t wait. You know you will need employees sooner or later.

Almost half of the guide walks you through decisions that can usefully be made ahead of time, before you ever write a job description or design your org chart. Hiring good people is the fastest way to grow your business into something that supports you and the life you want, rather than something you support every hour of the day.

So I urge you to take a look at Hiring is Hard: How to Hire Your Third Employee now! As soon as you order, we’ll deliver it in minutes via the Internet … so you can get started right away. When the workbook and audio files are ready, we’ll contact you so you can download them then.

If you don’t like it, we’ll give you a refund … so looking over the material costs you nothing.

If you do like Hiring is Hard: How to Hire Your Third Employee and want to keep it and use it as your business grows, ordering today means you pay only $7.95, and you’ll get the new tool when it’s done. Wait until later, and it will cost you more. So what are you waiting for?

To order Hiring is Hard: How to Hire Your Third Employee on a 365-day risk-free trial basis, just click here now:

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Still not sure? Give me a call at 919/395-5148, or send me an email to karen at hiringhowto dot com. The phone’s answered during US EST business hours. Sincerely, Karen Tiede, Principal Red Tuxedo

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If you have any questions, give me a call at 919/395-5148, or send an email to karen at hiringhowto dot com. The phone’s answered during US EST business hours.

About Karen Tiede

Karen TiedeKaren Tiede is the principal at Red Tuxedo, a consulting firm that helps entrepreneurs create and implement repeatable, reliable systems in their business. A writer and systems designer for more than 20 years, Karen has designed systems for numerous end users.