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Why Does Your Start-Up Need HR?

Human Resources isn’t a thing we do. It’s the thing that runs our business.”

-Steve Wynn

Starting a business is much more than just brainstorming about a concept. There are many decisions to make, whether to hire the right people or create the right atmosphere for your employees. As an entrepreneur, here are three things that you need to know while you’re starting up: Any company has obstacles they have to face no matter what industry or stage they’re in. Whether you’re trying to figure out how to create an HR team or deal with office craziness, these problems mount as ones that every business experiences during its life cycle. Therefore, any company needs proper HR procedures and policies and experienced team members who are committed and driven to help their business succeed.

  • Keeping the business on the right track
  • Engaging employees
  • Cultivating a great company culture
  • Hiring and retaining the right Talent
  • Dealing with administrative tasks such as payroll, time-offs, performance reviews, benefits enrolment, etc.

1. Law and regulations compliance:

While most HR tasks may sound trivial to startups, it’s essential to establish clear HR solutions for your business right at the very beginning. An HR manager’s role in a startup is the same as it is in a larger organization. They are there to help manage employees and contractors, such as making sure they’re happy where they work and making sure their salaries are correct. However, the quantity of the workload differs from what a business usually would see because of fewer employees on hand.

2. Recruiting and Hiring Talent:

In any business, attracting qualified employees is an essential task. A dedicated HR employee will have the expertise to top-quality candidates for vacancies in your organization. By letting our recruiters take care of this messy part of your workday, you can focus on what matters most – creating a better product or managing your company’s processes!

3. Employee Onboarding:

After hiring a new employee, most companies take the next step to get them up to speed as soon as possible. However, it is sometimes overwhelming, especially if you have many projects in your pipeline, and on top of that, you have to teach new employees how things are done! By investing in an onboarding program for your employees and further training them once they are hired, you can establish an official process in your company that ensures new hires’ experience is pleasant and they will be able to work efficiently right away!

4. Employee to management communications:

As the founder or manager, you already are tied up with work, and the last problem you want to entertain is employees coming to you with all sorts of questions about benefits, pay, time-offs, and other issues. It’s a waste of time, to be honest. And you are not even the right person to address their concerns, anyway. These HR issues require a specific point person or team. When employees know they have someone to turn to when dealing with their pay and benefits or schedule conflicts, they are more likely to be more productive. You can make sure your workers feel just as supported by making certain other members of the team step in when they need help with these tasks.

5. Employee Payroll and benefits:

Your company should deal with your team members’ salaries, insurance, benefits, and all the other factors that fall under HR. That means you must either have a dedicated staff member in charge of these tasks or ensure everyone on your team knows what they need to do to keep everything up-to-date and accurate. In addition, having an in-house HR will free up time and resources to focus on developing products, providing customer support, and growing the business.

6. Paperwork and administrative tasks:

Paperwork is a big part of planning for any business, so it’s no surprise there are lots of it in a startup. Employee files, health records, insurance claims, and timesheets are just some that have to be sorted through carefully and regularly. You ensure all the important stuff gets documented properly by organizing your papers into the most helpful system possible. It’s far too hard to get it all done if you don’t!


Startups can’t operate the same way big companies do, but that doesn’t mean that startups can’t begin establishing essential systems that will enable them to grow their business. Having dedicated HR and arming them with the right tools and strategies to simplify and streamline their daily workflow is what every startup should prioritize to become more successful as it moves forward. Our HR Toolkit is here to help save time in HR management for your startup.

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