The Money Podcast
How to Staff Up Fast, With Low Risk/Cost
Thursday, 25 February
So many entrepreneurs become daunted when they think of hiring staff and the expense that comes with it. Join Rob today as he explains how you can staff up quickly, with very little expenditure so you don’t have to do all the work yourself! Discover how referrals from friends, family and existing team members can help keep your costs low, how to ensure your staff can make you double (or triple!) their salary and how to manage their income generating tasks well.
Referrals from existing team members, friends or family are brilliant for finding staff at a low cost as there is an element of trust. You can acquire and hire a staff member for free if there are no recruitment fees.
Staff members are always working 30 days in arrears. If you manage them well on the income generating tasks. You can get them to earn their salary before actually paying their salary. As long as you can get them to make more than what they cost you, then ‘gross’ you have got them for free.
Whilst the initial cost of hiring staff may seem daunting, remember the salary you pay them over the next year is split into twelve instalments. As long as they are managed well, targeted well, have good minimum standards of performance and have a clear vision for their role they should be able to earn double or triple their salary.
Incentivise your ‘non income generating’ staff to save you and your business money by offering them a percentage of the money they save. Have them go through the expenses regularly and the savings they make could end up paying their salary.
Make sure you have always got a percentage of your staff that are income generating. Generally as the company grows, the percentage of income generating staff is lower because you will hire admin staff to manage all the work you have coming in.
Track your KPI’s, this is your percentage of staff that are revenue generating. It is wise to also track revenue per staff member too. If your revenue per staff member gets near or below their salary, you are making no money. If your revenue is 2-10 times their salary, then you are making a large profit.
“You are going to have a breakthrough, threshold year.”
“I like staff members to generate between two and three times their salary.”
“When you save £1 you save the whole £1. When you make £1, you probably only make 15p in that £1.”
“When I write a job description I make it really inspiring.”
ABOUT THE HOST
Rob Moore is an author of 9 business books, 5 UK bestsellers, holds 3 world records for public speaking, entrepreneur, property investor, and property educator. Author of the global bestseller “Life Leverage” Host of UK’s No.1 business podcast “The Disruptive Entrepreneur”
“If you don't risk anything, you risk everything”
Rob’s official website: https://robmoore.com/
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