Small businesses found to be largely understaffed
July 31, 2012
Leaders of small businesses often realize that amassing the perfect team of staffers is a large feat when just starting out. While one weak link can adversely affect the company's output, a great team can work in unison to ensure the firm is performing at the highest level.
No matter what sort of entrepreneurial advice a small business owner is given, he must know when it is right to take on additional employees. This strategy is often taken to bolster sales or become more productive.
However, according to a recently study, many small companies are vastly understaffed. This can lead to a stall in production or multiple responsibilities going unfulfilled.
Understaffed, but not hiring
TD Bank's recent survey polled 500 small business owners, and found that more than 35 percent believe they are either somewhat or significantly understaffed.
"According to our partners at TD economics, uncertainty about the future path of fiscal policy and the outlook for the global economy will keep businesses cautious about investing and hiring in the upcoming months," claimed TD's head of regional and commercial banking, government banking and small business Fred Graziano.
However, TD Bank found, of the 35 percent of those surveyed that said they needed more employees, only 21 percent actually plan to hire more workers in coming months. More than 40 percent of the leaders told the company their biggest struggle is finding individuals who are qualified to fill open spaces, while 22 percent have trouble attracting the right type of staff, as they cannot always offer competitive wages.
How to choose the perfect employee
Even if the business owner has no set plan to incorporate new workers onto the staff, when a viable worker presents himself, it may be a good idea to amend the hiring policy. Inc. Magazine explained there are certain character signs a leader should keep his eye out for. When these characteristics are recognized, the individual may likely be a beneficial addition to a small business' team.
Inc.'s indicators of good employees include a vast knowledge of the industry, ambition and ability to collaborate. The source said that these types of attributes often make the potential hire invaluable.
The magazine explained these traits can show an owner that the person belongs in the next generation's batch of leaders. The person must also be respected by peers and confident with his business decisions, the source noted. Any combination of these characteristics can mean good things for a business owner speaking to the individual.