However strong and stable they are, economies thrive on innovation, and startups are vital in harnessing the power of change. They are disruptive, break the rules, discover new pathways, and bring wild ideas into the mainstream.
A funded startup is naturally in a stronger position. Nevertheless, startups must observe certain inescapable business realities, one of which is the need for solid finance. One of their biggest challenges is to secure funding to launch the business and sustain it through a potentially long period of business growth and planning before seeing any return.
However, an injection of cash doesn’t solve everything. The funding may not be sufficient to pay the most competitive salaries because a startup’s budget is necessarily strict. You’re unlikely to attract the top talent purely based on salary.
There will also be organisational difficulties. There is no room within a startup for people to say, ‘that’s not my job’. Everything must be done by someone, from the big decisions to the menial administrative chores. Multi-tasking is essential, and the drive and commitment of the founding members will be more effective than simply spending more money.
Everybody learns new skills before job demarcation lines can solidify. In many startups, this is an attraction because it fosters an environment wherein the potential for personal development is enormous. It can only be beneficial to the business and to the individuals if, for example, tech teams are required to turn their attention to marketing, or accountants are drafted into customer support.
But it’s not all positive. The formlessness of a startup’s early structures undermines job security. Early joiners are bound to ask themselves whether the business will survive and, if it does, whether it will reach the heights envisioned. A great deal of faith is required by those who agree to risk getting in on the ground with no guarantee that the enterprise will ever fly.
Given so much uncertainty, what should you as an entrepreneur factor into your decision-making when you need to recruit your startup team?
You’ll have a budget if you have adequate funding, but there is more to this than money.
The first consideration is purely practical. Do you have the physical space to accommodate more staff, and can you provide them with all the equipment they will need, such as computers and communications? Suppose your office space is already full and you’re not able to commit to larger premises. In that case, you may need to consider hybrid or remote working, bearing in mind that the latter solution requires infrastructure support.
When you’re recruiting for your core team, it’s vital to have at the front of your mind a clear idea of the kind of company culture you want to create. Your employees will work best together and alone if they fit well into the working environment. They will influence the culture, but it’s invaluable to have a strong vision of what constitutes the most conducive and supportive systems and atmosphere.
Rather than adding to your full-time staff, why not consider the benefits of using freelancers and specialist contractors? It’s very common for businesses to outsource elements such as their accounting and payroll services, but in theory, almost any function can be fulfilled in this way. This is easy to do by using the professional recruitment services of a company such as Tekna Search, with access to a vast pool of talent available for fixed-term contracts or open-ended freelance engagements.
An alternative to formal recruitment processes is to leverage networking opportunities. This can uncover new business leads and increase the visibility of your brand. However, it can also bring you in contact with industry talent who may jump at the opportunity to get involved in a new venture.
Finally, remember that salary isn’t everything. The opportunities for career growth and personal development, the attraction of being involved in the birth of something new, and the sheer excitement of the unknown could be ample compensation for a more modest paycheque.
At Tekna Search, we provide a range of specialist consultant, project, and talent management services, meaning that whatever your business needs, Tekna can deliver.
Why not get in touch today at firstname.lastname@example.org or +44 (0)20 8050 2406 and discover how Tekna can help your business grow.