Most startups will try to fashion their employee hiring programmes after big-name companies. After all, the reason they got so big is that they use tried and tested hiring techniques, right?
However, what works for established multinational organisations that have been existing for some time will not necessarily apply to a business entity that is just finding its legs. In Resumeble’s experience, it is a common pitfall of all startup founders to think like a big company from the get-go, especially when it comes to their hiring practices.
Most unfortunate of all, this mismatch of talent, demand, and understanding of what kind of employee a startup needs to look for to thrive, is one of the primary reasons why so many great ideas fail.
Numbers from the year 2014 from the US Bureau of Labor Statistics reveal that of all the small businesses started that year, only 80 per cent made it to the second year, and the numbers only got worse as the years progressed, with merely 56 per cent surviving to year five.
And though a lot of factors play into why many startups find success elusive, one stands out from the rest —a recent study published by CB Insight says that the inability to find the right talent is the reason for 23 per cent of small businesses’ failure to launch.
This reason is made all the more glaring by the fact that it is entirely avoidable and easily solvable. Evidently, these failed startups chose the wrong candidates.
Also Read: Dealing with fundraising problems? These three startups may have the answer
At the early stages of business, founders need to have a vision for the company and find the talent who has what it takes to realise that vision.
But how does one find the right person for the job? It all starts with knowing what to look for in your applicant’s resume.
Startup experience
When looking at an applicant’s job experience, many founders will favour those who have worked for big companies over those employed by startups in the past, for the obvious reason that big names have bigger, more widely known reputations than small ones. However, opting for the latter can be even more rewarding for those just launching their business ventures.
Generally speaking, work in large organisations is traditional, rigid and tightly controlled. At the same time, startups often require their people to be flexible with their hours and be willing to put in extra work frequently.
Reportedly, Twitter and Square founder Jack Dorsey had to put in 100 weekly hours at work at the beginning of his ventures, while Tesla CEO Elon Musk supposedly worked 120 hours a week early on.
Only someone who has worked at a startup before will understand that long hours are part of the job. Like an infant, your new business needs more nurture, care, and attention than usual. You need to know that the people you hire have got the character and tenacity to carry you through your company’s growing pains.
Also Read: Why working at a startup is a better way to launch your career
Provable tangible results
A results-driven applicant—one who will provide real, tangible value to the business—is a must for any startup, more so than any other business. You simply cannot afford someone who will just be ‘going through the motions’ day in and day out.
Thus, when looking at a candidate’s resume, you need to look at work achievements that are both measurable and unique to their position. Keep in mind that accomplishments are different from duties and responsibilities.
Resume accomplishments tell you that the applicant has the drive to go above and beyond the expected job requirements.
- Did the applicant help the company make or save money? How much?
- Did the applicant help the company reach its goals? How fast?
- Did the applicant exceed the company’s goals set for them? To what degree?
High quality work accomplishments are measurable, observable, and provable. Look at the specifics of how your applicant did what they claim to have done.
Culture fit
Statistics show that a company’s culture has a direct impact on employee turnover. According to a Gallup poll, 20.2 per cent of employees quit because of poor organisational fit.
You will want to make sure your new-hire is fitting in with your team, both now and in the future. Find someone who can share your vision and who understands that they have a massive role in making the company better. Investigate their passions, hobbies, and interests, and see if they align with yours or your existing team’s.
Also Read: Morning News Roundup: Malaysian food delivery startup Dahmakan raises US$18M in Series B
You also need to look beyond their resume and scope their online and social media profiles to get a sense of their personalities. During the job interview, discuss and ask thoughtful questions about their passions outside of work.
‘In it for the long haul’
Too many employees leave startups for big brands, which can devastate the entire enterprise. You certainly do not want to hire someone who will get up and go the moment a better opportunity presents itself.
While it’s hard to compete with the career advancement and promotional opportunities offered by other companies, find someone who respects the startup business model and shows that they want to grow with the company. Find the signs in your applicant’s resume that demonstrate they will be a good long-term asset.
While researching their employment history, verify how they work and who they are as a colleague. On that note, it’s best to avoid hiring employees who are still deciding on a career path.
Their cover letter should also contain statements that say they are willing to invest in the company’s growth. It should say something along the lines of “I’m willing to take on responsibilities that aren’t part of the job description.”
In closing
As a founder, the way you go about choosing your hires can make or break your newfound business. Though the ideal candidate will be someone who has all the qualities listed above, that’s not likely to happen.
The key is not to give up too fast, rush into closing the position, or hire someone just because they use buzzwords and famous names on their resume.
Also Read: Why you should never intern at a startup (especially e27)
Take your time, meet candidates both in a formal setting and invite them out for lunch, talk about things outside work and, most importantly, trust your gut.
–
Editor’s note: e27 aims to foster thought leadership by publishing contributions from the community. Become a thought leader in the community and share your opinions or ideas and earn a byline by submitting a post.
Join our e27 Telegram group, or like the e27 Facebook page
Image credit: Tim Mossholder for Unsplash
The post Hiring for startups: What founders really look for appeared first on e27.