When Should I Hire My First Employee?
The answer to this question depends on your finances. In most instances, I think it is wise to not hire initially until you learn the business and are making a profit. It can take up to five months to generate revenue. During this timeframe, you have set up your business, written a job order, contract or assignment with a client, filled the opening, your candidate handed in a two-week notice and your invoice was paid in 30 days.
When you have too many job orders, contracts or assignments to handle, that is when you hire your first employee. My suggestion is to hire someone who will just work the recruiting side of the sale helping you fill the business you have written. It will take them some time to pay for themselves, and you don’t want to jeopardize your new business.