As startups grow, there comes a time when founders are unable to do everything on their own and decide to hire their first employee. Reaching the stage of hiring the first employee can be a significant, and exciting, milestone for a startup. In this post, we outline five considerations for hiring your first employee:
1. Consider whether you want an employee or an independent contractor
Before taking steps towards hiring your first employee, it is important to consider whether you intend to hire an employee or an independent contractor. Generally speaking, the key distinction between an employee and an independent contractor is the degree of control the hiring party exercises over the worker. An employee typically works under the direction and control of the employer, whereas an independent contractor maintains autonomy over how and when the work is performed.