The Hiring Process
Whether you're hiring employees or independent contractors, you want to focus on finding the best person for the job. No business can afford to hire the wrong people, but for a home-based business — where there are likely fewer financial resources available — it's especially important to bring in people who are assets rather than liabilities. Once you have the job description in place, you can start the hiring process.
Decide whether it's important to discuss the issue of wages in the job description. While you may not want to let your competition know what you're paying, it can weed out many job applicants for whom the pay wouldn't be appropriate. If you don't want to be specific, try stating a pay range.
The hiring process doesn't need to be complicated, but it helps if you have a clear idea of any testing or interview questions that you'll be using. Then it's just a case of finding qualified people, reviewing the applications, and putting the test and/or interview process into play.
Where to Find Qualified People
Depending on the position that you're trying to fill, a classified ad in the local newspaper might be fine. But there are plenty of other avenues to consider. First, let people know that you're looking for someone — it might be that a colleague or friend knows of someone who comes highly recommended.
If you need to save time looking for qualified people, employment agencies can be an effective solution. An employment agency will charge you a higher rate for the individual's hours or a fee for the job placement, but their access to a pool of personnel can mean the position is filled much more quickly — which can help you out in a crisis situation.
For intern or student help, you can contact local schools, colleges, or universities or a local hire-a-student office. Professional associations often offer a job listing service, and, of course, there are plenty of options on the Internet. If you use an Internet service to post the job description, be sure that you're specific about its geographic area to reduce the number of applications you'll have to deal with. Also, don't overlook sources such as senior citizen's groups, particularly if you're looking for experienced part-time help.
Assessing the Applications
First, sort through the applications quickly, separating them into three piles: no, for those who don't meeting the qualifications; maybe, for those you're not sure about; and yes, for those who are clearly well qualified. Then go through your “yes” pile to come up with a short list of people (anywhere from three to ten, depending on the job and your requirements). If you have time or you need to, also check your “maybe” pile.
Testing
If skills such as carpentry, math, or writing are essential for the position, you might wish to set up a test for your short-list candidates. This test should be something that's relatively quick to administer and to take and directly applicable to the job at hand.
Qualified professionals such as accountants are likely to be unimpressed with the idea of taking a test so be sure that testing is appropriate. Similarly, avoid asking skilled applicants to take a test that will basically provide you with free samples (such as carpentry or magazine articles). This isn't ethical.
The Interview Process
Once you have the short-list down to between three and five candidates, bring each of them in for an interview. You know by now what their qualifications are: The interview is an opportunity to see how each presents himself or herself personally and to elicit further details about his or her experience. You might also find out how each of them would solve difficult work situations that he or she might find himself or herself in. Be sure that the questions are fair, that you ask them of all the candidates, and that they never cross personal boundaries.
Checking References
The point at which you check references is flexible: You can use it to help short-list candidates or as a final step before hiring your number-one pick. Just be sure that you do check them. While it's unlikely that a prospective hire will give you a reference that will paint a poor or lukewarm picture of him, you may be surprised at what you'll learn. You could also check qualifications. For example, a quick call to your local college could confirm whether someone did actually graduate from a diploma program.
