4 Common Employee Hiring Challenges Entrepreneurs Face and How to Overcome Them


Entrepreneurs are known to wear multiple hats, and one of those hats include hiring new employees. This process is often tedious and time consuming for business owners and includes numerous challenges. Highlighted below are four common problems with solutions to help entrepreneurs design a seamless hiring process.

Problem 1: Lack of Training

Tight budgets force priority organization, which can lead to a lack of training for first-time employees. Each step as an entrepreneur is often a learning process. This work environment makes it hard to nail down training strategies. When new scenarios are continually surfacing, what is the best way to address lack of training?


Collaborative weekly meetings that discuss current processes and new processes within the company can be a great solution. During these learning sessions, provide a platform that allows for new hires to learn existing methods from company leaders. A clear understanding of what to do when new conflicts arise allows for less dissatisfaction with employees. Schedule these meetings during the business’s less busy hours.

Problem 2: Delegation

Often, delegating tasks after developing a company from scratch is a conflict entrepreneurs face. Letting go of a need for perfection and control after dedicating hundreds of hours to a startup is understandably tricky. Delegating is unavoidable. Putting it aside can result in being overwhelmed, burned out, or even delay company growth.


When searching for potential employees, start by figuring out what position to fill. Take a step back and look at the big picture. Analyze what lower-level tasks are time-consuming and go from there. When entrepreneurs try and hire employees for high-level tasks before learning how to delegate lower-level jobs, complications will most likely arise.

Problem 3: Finding Diamonds

It is essential for entrepreneurs to hire employees that will help grow the company. The process of selecting the ideal candidate can be like finding diamonds in a haystack. After going through multiple candidates, sitting through interviews, and hoping an ideal candidate will accept the job offer, many business owners are left thinking that there must be a better way.


Be exclusive. Targeting potential candidates is similar to a marketing campaign. Job postings often lack crucial details and requirements that can be easily listed to pre-qualify applicants. After acquiring a solid group of candidates, schedule interviews in-house to get to know your candidates personally. Approach the conversation as if the role to fill is more of a partnership to help grow the business. 

Problem 4: Less Money

Unfortunately, startups have a difficult time competing with big businesses when it comes to hiring. New companies are working with tight budgets and evolving processes. A larger company can quickly swoop a great candidate out from under you by offering a higher salary. So, what then?

Solution: New companies can offer unique perks that more established organizations fail to give. Substitute equity to make up for the lack of a higher salary. Flexible and remote positions are often a catch for younger employees, too.

Outsourcing your Human Resource work to an experienced partner simplifies one of the most complex and demanding areas of business. Together, we can create a better HR environment, avoid pitfalls and let you focus on what you do best. To learn more, reach out to one of our PEO experts today.

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Download our detailed guide to learn about the benefits of outsourcing HR tasks, and how it can enhance your business efficiency and employee satisfaction.

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