HIRING YOUR FIRST EMPLOYEE

Whilst it’s perfectly normal for entrepreneurs to start out as lone wolves, you’ve got to take the leap and trust someone new to lighten the load eventually. Planning your future team and who you will delegate to is a crucial part of growing your business, but it’s easier said than done. 

So, where should you start?

PRE-EMPLOYMENT

Here’s a handy (non-exhaustive) checklist of the things you’ll need to look into before hiring someone new:

  • Do they have a right to work in the UK? Remember you will always need to check ID documents for all successful candidates.
  • Will you be required to automatically enrol them into a pension scheme? 
  • Ensure you have received references from any applicants that you are seriously considering.
  • If appropriate, carry out DBS and background checks.
  • Take out employer’s liability insurance.
  • Be aware that you will be required to pay any employee the national minimum wage.
  • From a tax perspective, you’ll also need to register as an employer with HMRC up to four weeks before you start to pay your new staff.

Pre-employment is not usually something founders think about. The ‘get them in, get the job done’ attitude has its pitfalls. Take it from us, be prepared and tick off this list. 

LEGAL DOCUMENTS

This is the exciting part. You’ve found your first employee and you’re ready to welcome them to your team. 

The first step is to write an offer letter, setting out the headline points to the hire – when they start, pay and key terms, what they can expect next/conditions of the offer etc.

Then you’ll need to draft an employment contract to set out the details of the working relationship. Don’t panic! This is something our team can assist you with – and it’s crucial that you get the details right from day one. You can then use this as a template for future hires.

If you would like to discuss any of the issues raised in this article, click here.