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9 Reasons why Start-Ups should invest in HR early

Updated: May 30, 2023

Why Start ups should invest in HR early

You've had an awesome idea and it's starting to come to life. There are a million things to think about and odds are the last thing you're thinking about is HR. Investing in HR early in the life of your business, when you're starting to take on employees, could be a game changer for your business. This blog highlights the top 9 reasons why start-ups should invest in HR early.

1. Laying the right foundations

When you've had an awesome idea and your business is coming to life, it's really important that you lay all of the right foundations to be able to have the right processes to make sure you're doing all the things you should be to run a successful business.

2. Hiring the right people

Hiring the right people is essential for any business. When you're a start-up it's crucial that you have people who share your vision and will work hard to bring your business to life. The true cost of a bad hire could be as much as 30% of their annual salary. When you add up the time and effort you'll spend hiring and then rehiring someone that's a whole lot of essential time that you can't get back. Using an HR service could mean having access to experienced professionals that can support you with ensuring you make the right hires first time.

Have a look at our free YouTube video with our amazing recruitment guru Shelly Hill for some free tips and hints!

3. Getting the right processes in place

Before you grow it's super important to get the right processes in place. Things like having the right policies and procedures and the right ways of doing things are essential for any business. Having HR support with doing the right thing early can save you time and money in the long run.

4. Building your organisational culture

According to People Insight, organisational culture can be defined as;

"shared beliefs, expectations, language, customs, habits and attitudes of its employees, as well as the company’s underlying values, norms and standards".

It's super important to define all of these things early. A great HR partner can help you carve out and define your organisational culture and put in place practices to make sure you cultivate it and grow it.

5. Setting your Managers up for success

We've all heard the saying people don't leave businesses they leave bad managers. A common mistake that many business make is giving people the job title 'Manager' then doing nothing to support them to be a good manager, not outlining what good management looks like and not being clear on what's expected of managers within their business. Another common mistake is not acknowledging the difference between leadership and management. An HR partner can help assist you with having great learning and development opportunities for your people. Have a look at our video on leadership with the fabulous Anita- Arscott Brookes.

6. Dealing with people problems in the right way

It's really common for start-ups and young businesses to struggle with dealing with people problems. Sometimes they may be surrounded with people who have put huge amounts of effort into their businesses or in some instances might be their friends. We've seen a lot of businesses not deal with people problems and then approach Tap HR at crisis point when they've expended a lot of time and stress worrying about what to do about the problem. Having qualified HR professionals at your disposal means you'll be able to deal with problems as they arise rather than when things get too late and your stress levels are sky high. Equally, in some cases, having HR involved means problems can be defused before they even become problems.

7. Ensuring your business is compliant with UK employment law

When you're running a small business it often feels like you have to do everything but when it comes to employment law it's important to make sure you get things right first time which means getting an expert involved. Things can change regularly when it comes to employment law so it's important to make sure you have access to experts who are say of any changes and their implications. At Tap HR we've got year's of experience handling employment law issues but we also work with some fabulous local employment lawyers to support our clients.

9. Solutions that scale as your business grows

Using an HR service means you'll have access to a solution that can grow with you. Outsourcing your HR could also save you a considerable amount of money which all counts as you're growing and scaling.

Would you like to see if your HR is up to scratch? Take our free quiz.

Personalised HR Assessment

Our quiz aims to give you some insight into how you're managing your HR practices and provide you with some free tips and pointers on what you can do to make your HR practices even better! After taking our quick quiz, you'll receive a personalised insights email to help you take action and supercharge your HR!

I want some HR Help from Tap HR

We support your business with getting its HR foundations right, without stopping you from doing what you love. Get in contact for more details!

How do I get in contact?

Feel free to email us or book a free consultation.

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  • All information within the post is provided for guidance only and relates to the law in the UK, always seek your own legal advice

  • The information with this post was correct at the time of publishing, March 2023 but may be subject to change

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