TOO often, in the early days of a business, you need to rely on family and friends to lend a hand so that you can concentrate on the day-to-day running of the company.
But HR experts at Spirit HR warn that it often doesn’t make good sense to have informal agreement with family and friend who are willing to help out, but may not have the exact skills the business needs to grow and develop.
Outsourced services such as those offered by Spirit HR can give a business owner clarity on the roles that will support the business’ development and the best way to fill them.
Donna Fairbrass of Spirit HR said: “Just because a family member or friend is willing to work for you, doesn’t make it the most efficient option. Informal agreements usually don’t involve agreements on pay or hours worked and you could find that leaves the firm vulnerable or exposed.
“Using a qualified HR person, who knows how small businesses work, to help you see what’s needed – and that might just be one person to help with the accounts or answer the telephone – can help a business understand the need for a trained, eager employee who may well be better for the business in the long term, and who works for your business with contractual terms, not on the basis of helping out”
Where a company is too small to warrant a full-time HR manager, outsourcing is a cost-effective way of ensuring compliance with employment law and avoiding possible costly tribunals.
Although it is possible to source employment legislation through the internet and other sources, Donna Fairbrass warns that it is almost impossible for someone who is not in the profession to stay abreast of legal guidelines and rulings that are made as a result of tribunals and mean the interpretation of legislation is ever-changing.
“I have met with clients who familiarised themselves thoroughly, or so they thought, with the current laws, only to find that either they had misunderstood what is a complex field, or else they failed to find, when searching, judgements from tribunal hearings that have an important impact on how employment law should be applied. We come across business owners who believe they are doing the right thing, but do not realise their process is out of date, and sometimes illegal.
“As a business owner myself I know how important it is to me to outsource my accounts, for instance, to a professional accountant, or marketing to an experienced PR and marketing professional, and taking advantage of HR services is just as important. A lost tribunal can cripple a business and so it’s cost-effective to get the right advice right from the start so that any pitfalls can be avoided.”
Find out more about Spirit HR by visiting the website www.spirt-hr.co.uk or call 0845 463 3231.
