Hiring staff for the first time

Hiring staff is hugely satisfying. It allows you to focus on running the business better. Here’s what’s involved.

A restaurant owner hiring a chef

1. Write a job description (JD)

List the daily tasks you need help with, and the skills required to do them. Decide if you need a full or part timer.

2. See if you can afford to hire

Find out what your employee would cost. Start by asking businesses who’ve hired staff in similar roles.

3. Register as an employer

You need to register with the tax office before hiring staff and withholding tax from their pay.

Start the registration process well before your new hire’s first day.

4. Recruit the right person

A small business owner interviewing potential employees over the phone

Advertise the job. Check candidates against the job description to select the top two to four for an interview. Make an offer to the best fit.

TIP: Call references to make sure candidates are as good as they say they are.

5. Paperwork

Once hired, create a file including the employee’s:

Name, pay, bank account details, contact details, next of kin, tax forms, retirement plan details

6. Pay them

Hiring staff means paying staff (and taking out taxes). Try to avoid mistakes and delays. They stress everyone out. Check Xero’s guide on running payroll.

Get ready to grow

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After hiring staff

Create a good onboarding process that introduces new people to your ways of working. Make sure they feel comfortable and confident, so they can do their best work for you. Give them opportunities to tell you how things are going and what could be better. Do all this, and hiring staff will make your business stronger.

Read more in our guide to hiring employees.

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