Part of our guide: How to grow a service business without working more hours.
Written by Dan Sagar, FoundationsAI. Updated October 2026.
Hiring is the right answer when you need more skilled hands to do the work customers pay for. It's often the wrong answer when the real problem is admin, slow replies or messy processes, because a new person just inherits the mess. Fix the system first, then hire into a job that's clearly defined.
Hire, or something else?
| The problem | Hire? | Better first step |
|---|---|---|
| Enquiries go unanswered | No | Instant replies and follow-up |
| The office is drowning in admin | Not yet | Automate booking, reminders and invoices |
| You're turning away work you're qualified to do | Yes | Hire or train skilled staff |
| You need a skill you don't have | Yes, or outsource | A specialist, full or part time |
| A busy patch for a few weeks | No | Subcontractors or overtime |
What an employee really costs
Salary is only part of it. You'll also pay employer's National Insurance (15% above the threshold since April 2025), workplace pension contributions (at least 3% of qualifying earnings), and 5.6 weeks' paid holiday a year. Add equipment, a van if they need one, training, and your time managing them. Check the current rates on GOV.UK before you budget.
Before you hire
- Write down exactly what the job is and what good looks like.
- Write down how the main tasks are done, so you can train them.
- Ask whether any of it could be automated instead.
- Make sure you can afford them for several months before they pay for themselves.
Common questions
When should a small business hire its first employee?
When you're regularly turning away profitable work and your admin is already under control.
How much does an employee really cost?
More than their salary. Add employer's National Insurance, pension contributions, holiday, equipment, training and management time.
Should I hire an office manager or automate?
Automate the repeat admin first. You may then need fewer office hours, or a different kind of role.
Is outsourcing better than hiring?
For specialist or part-time jobs, like bookkeeping or marketing, it often is.
What should I do before hiring?
Write down the role and how the main tasks are done, so the new person can start well.
Want to see what you could automate before hiring?
Book a 45-minute demo. We'll show you which jobs a system could take off your team.