When Should a Home Based Business Employ?

This is always a tricky question and one that most HBB's struggle with. Finance is one of the major problems they face. When can they afford to employ someone? If they do not employ, how can they grow and cope with the extra work?

Then there is the problem of working in the home. Some councils will not allow employees in the home and others have a very small number allowed (1 or 2 only). Keeping in mind that the business is in the home, how easy is it to trust an outsider to be in the home all the time?

One way that the home based business copes with this problem is to have family members or friends help them. This in itself can create problems too. If the work is not completed to the standard that the business owner wants, they may find it nearly impossible to ‘fire’ them, or to even criticize them. Suddenly there could be a great deal of personal problems occurring.

There is also the problem of the ‘oncosts’ such as superannuation, sick leave, holidays etc. Many employees and employers have an understanding (or agreement) and only work at times that suit both parties and at a wage that everyone is prepared to accept. This may not fall into the realm of accepted regulations, but it can and does work for many.

Having procedures in place will make the process easier. Be aware of such things as occupational health and safety issues and grievance procedures. Like any other part of your business, procedures will make things run smoother and can often circumvent any problems that may arise.