How to make your first hire and build your business team

Building a team can feel intimidating, says Benjamin N’Goran, an entrepreneurship coach at Futurpreneur, a Canadian non-profit that provides young people aged 18 to 39 with the resources to start or buy a business.

However, he notes, a few targeted strategies can make the process easier and help you make informed decisions. Here are his recommendations for getting on the right track.

When is the right time to make your first hire?

The ideal timing for your first hire depends on your industry, experience and growth goals. Here’s how to know when to take the first step.

Three signs it’s time to hire

1. You’re turning away clients

If demand for your products or services is growing steadily, there comes a point when you can no longer deliver everything on your own.

If you’re turning down projects, missing deadlines or constantly overbooked, “this is often a clear signal that it’s time to hire in order to meet client demand,” notes N’Goran.

2. Quality is declining

As your business grows, order volumes increase and your offerings diversify. Trying to do everything yourself can lead to a drop in service quality or more frequent mistakes, which could damage your reputation.

If you notice these warning signs, hiring can help restore client trust and ensure consistent service quality.

3. You’re feeling burned out

Running a business on your own is exhausting. As an entrepreneur, feeling drained is a sure sign that it’s time to bring your first team member on board.

If you’re feeling drained, work/life balance is suffering and tasks keep piling up, it’s time to make your first hire and delegate responsibilities.

The ideal first-time hire profile

Once you know it’s time to hire, consider what type of person will best complement your business. Follow these two steps.

1. Define the role

Outline the responsibilities of your new hire and write a job description. List tasks, daily activities and required skills and qualifications. Will they need specific technical expertise or training? Will they be responsible for deliveries? If so, will they need a driver’s licence?

“You want someone who complements your strengths, shares your values and can directly contribute to your business growth while allowing you to delegate effectively,” adds N’Goran.

2. Determine a salary range

Set a realistic salary range. “A clear salary range attracts qualified candidates, sets realistic expectations and allows for transparent negotiations,” says N’Goran.

Consider market rates, required experience and benefits you can offer. Be aware of legal minimum wages for the role and use them as a baseline.

Common hiring mistakes

Many entrepreneurs underestimate how challenging people management can be. If this is true for you, seek training or hire external specialists.

Another common mistake is expecting immediate results. Even the ideal hire will need time to adapt to your processes, especially if they are not fully defined. Plan accordingly.

Legal and accounting support: Finding the right professionals

Building your business team isn’t just about hiring for operational roles. It also means bringing in specialists in law and accounting—two areas where challenges can arise from the very early stages of your company’s development. That’s why it’s wise to consider having at least one professional in each of these fields on your team as soon as you launch your business.

A new business rarely needs a full-time lawyer. Instead, identify a qualified professional and consult as needed.

Certain legal matters, like intellectual property, may require specialized expertise. You may have to work with a number of lawyers.

Similarly, accounting needs are often regular but may not justify a full-time hire at first. An external accountant or specialized service is typically the best solution until your business grows.

Why legal and accounting professionals are key to your success

These specialists can help with issues that go beyond your expertise. “Their services can be expensive, but it’s better to see them as an investment. Their expertise helps you avoid mistakes that could cost much more in the long run,” says N’Goran.

Here is how these specialists can help you.

What an accountant does:

• Structures your finances
• Optimizes your tax situation
• Sets up and configures your accounting systems
• Prepares financial statements and reports
• Manages payroll
• Advises on cash flow, profitability and investments

What a lawyer does:

• Incorporates your business and drafts shareholder agreements, as needed
• Protects your trademarks and intellectual property
• Drafts commercial or hiring contracts
• Ensures legal compliance, including privacy and succession planning

How to find the right people

The best way to find trusted legal or accounting professionals is through referrals. Ask within your professional or personal network, including mentors, other business owners and business partners. Take advantage of networking events hosted by professional associations or chambers of commerce.

This is often the most practical way to find a trusted partner whose expertise and fees have already been validated by people you know.

Next step

Ready to make your first hire? Download BDC’s free job description template.