Small Business Plan Staffing and Outsourcing - dummies

Small Business Plan Staffing and Outsourcing

By Steven D. Peterson, Peter E. Jaret, Barbara Findlay Schenck

One of the biggest challenges for planning small businesses is staffing. The task of finding and keeping top-notch employees is toughest when a company is growing fast. But even if you’re just starting out, planning your staff effectively can be a hurdle. To begin to tackle this task

  • Make a complete list of jobs and functions associated with your business. The more complete your list, the better prepared you’ll be.

  • Identify which jobs or functions require full-time employees and which can be handled part-time or entirely outsourced.

  • List special skills or experience that particular jobs or functions may require.

  • Draw up a proposed staffing list, including for both full-time employees, part-timers, and outsourced talent.

Staff requirements are an important part of your business plan, so make sure you describe them in as much detail as possible.

Temporary agencies have long been a great place to turn if you need to fill a position for a limited amount of time. Today, online sites like LinkedIn also offer an effective way to find people for specific projects. By hiring temporary or independent contractors, your company doesn’t take on the responsibilities of a full-time worker. The downside to non-staff personnel is that they need some type of supervision.

If you plan to use independent contractors, be sure to check out all the relevant legal and tax requirements. According to IRS rules, an employer can’t dictate exactly where and when an independent contractor works for example. Independent contractors also may not use your company’s equipment or facilities to perform their work.

If the IRS determines that the employees you call independent contractors are performing their work too much like staff employees, you could be in for trouble.