Your first hire is a bigger leap than your fifth. You go from doing the work to depending on someone else to do it, and the mistakes are more expensive than they look. Here’s what to get right before anyone starts.
Get the money right first. A salary is only part of the cost — add payroll taxes, leave, insurance, equipment, and the hours you’ll spend managing. A useful rule of thumb is to budget 1.2 to 1.4 times the headline wage, and be sure the role generates more value than that fully-loaded figure.
Get the role right. Write down what this person will own and how you’ll know they’re succeeding within 90 days. Vague roles produce vague results and awkward conversations later.
Get the paperwork right. A written employment agreement, correct tax registration, the right insurances, and a clear understanding of your local employment law aren’t optional — getting them wrong turns a good hire into a costly dispute.
The trade-off to weigh honestly: hiring buys you capacity but costs you flexibility and cash certainty. An employee is a fixed cost that shows up whether or not the work does, which is why many owners bridge with contractors first to test the demand.