How to Hire An Employee

by Nick Thacker on November 22, 2009

Try finding an intern at a university or college–often times these students can provide the support you need on a contractual (or even free!) basis in return for some credit hours or resume help.

I had a friend come on at my company as a contractor, helping me with some web work, design, and printing. In order to help him out, I offered him a percentage of each sale he generated or was a part of. Because he was technically a contractor and not an employee, I couldn’t require him to take a certain job or complete a project a certain way (beyond the initial scope of the work), but I also didn’t have to worry about taxes and benefits! Here’s how everything works out:

Benefits of hiring contractors:

  • You can bid for the best work at the most reasonable price for individual projects.
  • You can build a network, or pool, of contractors to use for specific jobs.
  • You don’t need to withhold taxes from their wages.
  • You don’t have to keep them around if they suck.

Possible things to look out for (or reasons NOT to hire contractors over employees):

  • You can’t force them to take an assignment.
  • You can’t tell them specifically how to complete a project (they could in turn hire additional laborers to get the job done).
  • They can easily end up costing more than an employee.
  • They can easily go work for your competitor.

When deciding whether or not to someone, decide if they could work on individual projects or if you just “need them around.” If you want the specificity of a job outline on a long-term basis, they’ll probably need to be an actual employee.

Either way, check out local listings for qualified–but not necessarily professional–people to come on board as interns. If they get the work done well, try them out as a contractor or an employee!

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