LATEST BHA NEWS

09 Feb 2010

Advice for small businesses

Many small businesses experience a rise and fall in trade and it is sensible for small business owners to look at when their busier periods fall and plan ahead to ensure that they have staff in place to deal with a potential surge in activity.

When hiring new team members, many small businesses pay for external advice for support in meeting their employment obligations and this extra cost can eat into any profits the seasonal boom can bring. It’s a good idea to look at the free advice that is available from the Government to small businesses to help them comply with employment law.

The Government offers a range of advice and interactive tools online at www.businesslink.gov.uk/employingpeople to help clearly articulate how small business owners can manage their employment obligations themselves.

Below are some tips to help small businesses enjoy some seasonal success.

Find the right balance – Small businesses need to find the right balance between hiring permanent employees and those that only work during peak periods. It is important to have core staff in place throughout the year who can run the business and deal with administration, finances and marketing to guarantee an ‘all systems go’ approach when the rush begins.

As a small business owner, you will need to think about the different employment optionsavailable when hiring staff to cover the busier periods - the key is to identify what will best meet the company’s needs. Think about whether you need temporary workers or employees on fixed-term contracts and consider using family or friends to help out at weekends or during school holidays. Getting your staffing balance right will allow you to focus on your bottom line.

Retain quality staff – Finding skilled and committed staff can be difficult. If you are lucky to have a great team onboard, do what you can to ensure they come back for your next peak.

Keep lines of communication open with all your staff and draw up schedules well in advance so employees can plan their personal lives around them. This is particularly important for shift workers where staff can work unsociable hours which impacts on their home lives.

Be sure to reward success as well. Offer incentives to your team such as overtime payments or productivity bonuses to encourage motivation. High morale brings loyalty as well as attracting quality employees, so it’s just as important to include temporary staff in any team events you have planned for your full time employees.

Minimise Paperwork - When employing extra staff over busy periods there are requirements that you need to fulfil, such as providing new contracts and payslips. Being up to date with the latest employment law helps you to think your recruitment options through clearly allowing you to be confident when it comes to making recruitment decisions. A great source of reliable, accurate and up to date information can be found on the Business Link website.

"This new government tool is of great value to SMEs, particularly in the hospitality industry where small business owners often have a high turnover of staff but are short of time in terms of managing the relevant legislation to ensure that they meet their employment obligations. The BHA fully supports any initiative that will offer real help for small businesses in our industry." Martin Couchman, Deputy Chief Executive, BHA

Don’t let HR worries stand in the way of your profits. Managing your legal options yourself is simpler than you think.

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