New Business Owners/ Employers Must Deal with Establishing Policies and Procedures While Complying with Governmental Regulations
As the recovery from the recent recession continues many new small business owners are now dealing with hiring or expanding a workforce and in doing so are becoming “employers” for the first time.
Most new entrepreneurs quickly find out that the transition from employee to employer can be difficult – to say the least. Many fail to anticipate what lays head for their newly formed companies and themselves; being a business owner is the hardest job they’ll ever have!
As the company’s CEO, CFO, COO, Risk Manager, and HR Director the typical small business owner must handle a multitude of responsibilities and compliance issues while growing their start-up operation. And the fact is that there still is a boss to answer to – the government.
Dealing with Employee Attitudes:
One of the biggest challenges for first-time employers is realizing that they feel differently about their company than do their employees. The New Business Owner thinks about opportunities, establishing their brand, developing a good reputation, “hitting a homerun!”, however a lot of employees just think of their positions as being just another job or a paycheck. Of course, this awareness of the average employee’s attitude can be very frustrating for the passionate new entrepreneur.
Business Owners simply need to understand that they can’t expect employees to be, Without a stake in the business, a percentage of the profits, or a true say in the direction of the organization the employees are not as deeply invested (financially or emotionally) as is the Business Owner. The average employee doesn’t see the big picture. That doesn’t mean the Business Owner can’t have high expectations of their workforce, but it does mean that employees may not want to consistently work 12-hour days as you do.
Another problem new employers have is taking their vision of what a new job is about and putting it into concrete terms. Some workers might jump in, figure out what they need to do and get the job done. But others will want specific guidelines about the work. The solution is to come up with a job description and put it in writing before you start looking.
Employers also must come up with policies to cover a variety of workplace issues.
When a candidate you want to hire asks how much vacation time is offered, you shouldn’t answer the question on the fly. You need to put your policies in writing in an employee handbook.
If you need help in putting together policies or a handbook, you can find sample policies by searching online. More comprehensive advice can be obtained from a human resources consultant.
Governmental Compliance Challenges:
Having even one employee means you have to start complying with government regulations. And more laws will apply to you if you keep hiring.
There are things you as a manager may not have known about, but as a business owner you’re going to be accountable for. It’s a good idea to see an HR consultant or a labor lawyer to be sure you comply with all the laws that apply to your company. Another good resource is a PEO.
To find out more about how a PEO can help you better manage and administer your company’s workforce, contact the LL Roberts Group (toll free) at 877.878.6463 or visit them online at www.llroberts.com.