Business Advice: Overwhelmed? Should you outsource or hire employees?

Article by Jane Tweedy, Business Advisor, Western Sydney Business Centre

 

Having sorted out systems and processes (covered last week), if you’re still overwhelmed with your workload, it’s time to look at outsourcing work or hiring an employee. Below I touch on how to go about this.

 

Time logging

As a micro business owner, you’ll be doing most if not all functions within your business. You’re the IT, service, marketing, and accounting departments, all rolled into one! Therefore before hiring we need to determine what type of workers we need. Time logging involves noting down how much time we spend doing each function. We can then use this to work out do we need an admin person, marketing, technical etc. It may also have side effects in identifying where we undercharge, or how much time we REALLY spend on Facebook! Log 15 minute increments using an app or a spreadsheet for a few ‘normal’ weeks.

 

Outsourcing and the deemed employee issue

Typically we start with outsourcing – getting a business outside of ours to perform a function. Please note outsourcing to a company as a contract for services is relatively simple – they perform the service and invoice us. If they’re a sole trader we need to make sure using the ATO tool that they are a contractor, and will not be considered a ‘deemed employee’, as we will need to pay their super. For all outsourcing make sure the ABN is valid or you need to withhold payment.

 

Hiring the right employee

You can hire casual, or permanent employees (full or part-time). You will have obligations, which you can find from Fairwork Australia or your advisor. If you have older children, consider employing them in your business, which can be done in most cases subject to meeting some standards (like not employing during school time).

 

Selecting the right person or business

Make sure the person fits your needs, not just in technical elements but also cultural fit and the values of the organisation. You can seek recommendations from trusted people, advertise or utilise your network of contacts.

 

Small Business Grant

You may be eligible for the Small Business Grant of $2000, payable after a year of employment. Certain criteria apply which you can find from Revenue NSW.

 

Need help deciding if you need to outsource or hire and employee, please make an appointment to see one of our business advisors for up to four hours at no cost with no catches! Book now!

Related posts

Embracing The Power Of Training

Reading Time: 1:41 min

Now that the festive season’s is done, and the dust of New Year’s resolutions has begun to clear, it’s time to refocus our energies. As we ease back into the…

View post

Kick-off 2024 with Time Management Strategies for Small Business Owners

Reading Time: 2:37 min

It’s easy to feel overwhelmed if you’re running your small business alone. But with the right time management strategies, you can take control of your schedule and focus on your…

View post

Sustainability and consumer behaviour in 2024

Reading Time: 1:30 min

In the world of business, understanding and adapting to consumer behaviour is a crucial step for small business owners to stay competitive and relevant. As we move into 2024, several…

View post

Lessons learnt in 2023

Reading Time: 1:49 min

As we bid farewell to 2023, let’s reflect on the highs and lows of the local marketplace, and focus some valuable lessons help further improve business relicense as move into…

View post

Seasonal Marketing Ideas: 5 Tips to Boost Year-End Sales without Overspending

Reading Time: 2:11 min

As the year winds down, small business owners often find themselves in a common dilemma. The festive season is a golden opportunity for sales, but the challenge lies in capitalising…

View post

Using business award to build business reputation

Reading Time: 1:54 min

In the business world, where small business owners are fighting to be recognised and competing to be seen, how to stand out and make your potential customers aware of who…

View post

Our Channels

Correspondence: PO Box 4029, Penrith Westfield NSW 2750

Office Locations

We have Advisors available to meet you in our head office in Western Sydney and we also offer a mobile service to your place of business. Online sessions are also available.

Head Office
Suite 1, Level 1, 111 Henry Street,
Penrith NSW 2750

Area’s Serviced: Penrith, Hawkesbury, Blue Mountains, Blacktown, Hills, Fairfield, Liverpool, Campbelltown, Wollondilly, Camden, Cumberland and everywhere in between.