Nine steps to hiring employees for a small business.
To hire employees for a small business, define the role and budget, write a clear job ad, publish it on your own careers page and the job boards your candidates use, screen applications against the same few criteria, interview consistently, check references and right to work, then make a written offer and plan the first week. The steps are the same whether you are hiring your first employee or your twentieth. What changes is how much of it you can make repeatable.
This guide walks through each step, with the shortcuts that matter most for a small team without an HR department.
Before you start: is it the right time to hire?
Hiring is easier when the reason is clear. Common triggers include work being turned away, the owner doing tasks a junior person could do or a skill gap that keeps costing money. If you are still deciding, our guide on when to hire your first employee covers the signals and the costs.
Step 1: Define the role and the budget
Write down the three to five outcomes you need this person to deliver in their first six months. That list becomes the job description, the interview questions and the way you judge success. Then set the pay range and work out the full cost, including any superannuation, pension or payroll taxes, equipment and the time it will take you to train them.
Step 2: Write a job ad people want to read
- Use a plain job title that candidates actually search for, eg "Office administrator" rather than "Chief of first impressions".
- Lead with what the job involves and why it matters, not your company history.
- Show the pay range. It saves everyone time, and in some places it is a legal requirement.
- Separate must-haves from nice-to-haves. Long requirement lists put off good applicants.
- Explain how to apply and what happens next.
Step 3: Publish on your careers page first
Your own careers page is the one place you control. It is where candidates go to check you out after seeing an ad elsewhere, and it is where interested people can find you when you are not advertising. Post every role there first, then share the link on LinkedIn, social channels and in your network.
Add a way for visitors who do not apply to join your talent community. Next time you hire, you start with a list of interested people. Our careers page checklist covers what else the page needs.
Step 4: Advertise where your candidates look
Free and low-cost options include your own network and staff referrals, LinkedIn, local community groups, industry associations and university or college job boards. Paid job boards are worth it for hard-to-fill roles, but they work best pointing to your own careers page rather than replacing it.
Step 5: Screen applications consistently
Decide your must-haves before reading a single CV and check every application against the same list. Short screening questions on the application form, eg "Do you hold a current driver's licence?", save hours. If two of you are reviewing, keep notes and statuses in one place so nobody contacts the same candidate twice.
Step 6: Interview with a structure
- Ask every candidate the same core questions, tied to the outcomes from Step 1.
- Include a short, realistic task where it makes sense, and keep it to an hour or two.
- Score answers straight after each interview while they are fresh.
- Give candidates time for their questions. They are deciding too.
Step 7: Check references and right to work
Speak to at least one recent manager. Ask specific questions about the outcomes you need, not general ones about character. Then complete the legal checks for your country, eg right to work checks in the UK, Form I-9 in the US and providing the Fair Work Information Statement to new employees in Australia. Rules change, so check the official government guidance before you make an offer.
Step 8: Make the offer and plan day one
Make the offer by phone, then confirm it in writing with the pay, start date, hours and key terms. Plan the first week before they arrive: equipment ready, logins set up, a list of people to meet and one piece of real work they can finish. A good first week does more for retention than almost anything else.
Step 9: Keep the runners-up
Most hiring rounds produce at least one strong candidate you could not hire this time. Ask them if they would like to hear about future roles and add them to your talent community. It is the cheapest source of your next hire.
Tools that make small business hiring easier
You do not need a full HR suite to hire well. Most small businesses need three things:
- A branded careers page where roles live and interested people can sign up
- A simple way to review applications with colleagues
- Payroll and contracts, usually handled by your accounting or HR software
Spacewalk's careers page software covers the first two. You get a branded careers page with a built-in talent community, unlimited admins and shared application review, from £10 (US$13, A$19) a month billed yearly. It goes live on your own website in about 10 minutes, with a 14-day free trial and no credit card. If you already use an applicant tracking system, each role can link straight to it. Weighing up an ATS too? See do small businesses need an ATS?
Frequently asked questions
How do I hire my first employee for a small business?
Define the role and full cost, register as an employer where required, write a clear job ad, publish it on your careers page and job boards, interview consistently, check references and right to work, then make a written offer.
Where can a small business post jobs for free?
Your own careers page, LinkedIn job posts within its free limits, staff referrals, local community groups, industry associations and university or college job boards are all free or low cost.
How long does it take to hire an employee?
For a small business, three to six weeks from job ad to offer is typical for most roles. Notice periods can add weeks before the start date. Having a talent community ready shortens the first stage.
How can a small business attract good candidates?
Show the pay range, describe the work honestly, make applying quick, respond to every applicant and give your careers page enough detail about the team and the work for people to picture themselves there.
Do I need recruitment software to hire?
Not to start. A careers page and a shared place to review applications cover most small business hiring. Full applicant tracking systems become worthwhile once you are running several roles at once.