How to hire your first employee without losing your mind

2 min read
How to hire your first employee without losing your mind

You're overwhelmed. You're turning down jobs. You need someone. But hiring is daunting. That's normal.

Going from a self-employed sole trader to a self-employed business owner with an employee is probably the most important decision you will make in your business. More important than buying the van, more important than renting the warehouse. Because an employee is a fixed monthly commitment, no matter what.

When is the right time?

There is no magic formula, but there are clear signs:

  • You regularly turn down jobs. If you say no 2-3 times a week because you cannot fit them in, you are losing money and damaging your reputation.
  • Your customers are waiting too long. If your lead times are getting longer and customers are starting to complain, you are at capacity.
  • You regularly work more than 10-12 hours a day. That is not sustainable. You will end up burnt out or making mistakes.

The rule of thumb: hire when you have enough steady work for that person to pay for themselves for at least 6 months. Do not hire ‘just in case’ — hire when demand justifies it.

How much does an employee really cost?

Do this calculation first:

Item Approx. monthly cost
Gross salary €1,800
Social Security (~35%) €630
Workwear and PPE €50
Tools (depreciation) €100
Training €50
Actual total ~€2,630/month

To be profitable, that technician needs to bill at least €3,500-4,000 per month. Is that realistic with your volume of work? If so, go ahead.

Where to look

  • Your network of contacts. The best technician will usually be recommended by someone in the trade. Ask suppliers, people you trained with and other professionals.
  • Vocational training centres. Secondary schools offering courses in electrical installation, plumbing or air conditioning have job boards. Recent graduates are motivated and you can train them your way.
  • InfoJobs and LinkedIn. They work, but you will receive many irrelevant CVs. Be specific in the job advert: the type of work, the area and the experience you are looking for.
  • Training contracts. If you hire someone under 30 with no experience, there are significant Social Security contribution reductions. Ask your adviser.

The paperwork: the minimum you need

  1. Register as a business with Social Security (your adviser can do this in a day).
  2. Notify the authorities that the workplace is opening.
  3. Engage an occupational risk prevention service (mandatory).
  4. Register the employee and draw up their contract.
  5. Take out the insurance required by the collective agreement (accident and public liability).

Three common mistakes when hiring for the first time

  1. Hiring a friend or relative ‘as a favour’. If they are a good professional, perfect. But if they are not, dismissing them will be much more difficult and painful. Hire for competence, not affinity.
  2. Not clearly defining what you expect. ‘You'll pick it up as you go’ is not a training plan. Define working hours, the area, the type of work, how to report and how much autonomy they have.
  3. Not supervising them at the beginning. For the first 2-3 months, you need to work alongside them, review jobs and give feedback. It is not a lack of trust — it is an investment in quality.

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