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Business: Outsourcing vs. Hiring

2020-11-04

Business: Outsourcing vs. HiringFor small business owners, hiring and managing employees can be a rewarding but stressful part of the job. During uncertain times, maybe you need extra help but are thinking twice about committing to an official employee. So when should you hire, and when might an independent contractor or outsourcing company be a better fit? Here are some tips to guide that decision.

Look Long Term:

Maybe you only need help with one or a few short term projects. Or maybe you'd like to hire but are unsure whether you'll be able to offer consistent work during the pandemic. Maybe you can work with someone on a contract basis with the hope of hiring them at a later date. Take a look at what your needs really are and what you can reasonably commit to.

Be Transparent:

If you decide to hire, be up front with your needs, expectations, and what you can really offer. You might get a great candidate who is out of work and willing to take the risk, simply because some employment is better than none.

Get Creative:

If you don't need someone with specialized skills and you're unsure of what the future holds for your business, there may be ways to get your business' needs met without hiring a regular employee. Can you offer an internship or hire a younger person who doesn't need to rely on your wages? Perhaps your town has an agency that places people with developmental disabilities or offers vocational rehab services. Look for ways to get that extra help that will also benefit your community.

Develop Relationships:

Perhaps you do need long term help, but don't feel comfortable with the risk of taking on a long term employee. Developing positive and mutually beneficial relationships with independent contractors is a way to find people you can rely on and who know your company. Treat them well and give them work often, and it will be almost as good as having someone in house.

Communicate:

Whether you're working with independent contractors or hired employees, continue to communicate with your staff about where the business is at and what your challenges are. Nobody wants to be out of work, but it's worse to believe everything's fine and then feel blindsided. The people who work for you will appreciate your straightforwardness, and will be more likely to get back on board if and when your business makes a full recovery.

For all of your business insurance questions, call or contact Arndt-McBee Insurance Agency today.

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