SmallBizResource Blog -- SmallBizResource

When Only the Best (Employees) Will Do

Posted by Naomi Grossman Tuesday, Oct 16, 2007, 11:13 AM ET

Because your small business is, well, so small, the import of your employees is magnified. How can possibly hope to lure the best talent? In a word: benefits.

You are probably thinking you can't afford to provide potential employees with things your larger competitors can like a 401(k) plan, a health care plan or even maternity leave but it's becoming increasingly clear that if you are interested in real growth you probably can't afford not to provide something.

A Wall Street Journal Online article makes this clear. "For small-business owners just starting up and looking to add staff, benefits such as medical and dental coverage may be just the edge you need to attract and retain stellar employees," writes Diana Ransom.

But don't panic. As the article indicates, you don't need to provide it all. Ransom quotes John Foley, a partner at the Benefit Consulting Group in Northfield, Illinois who says, "An employer's job is not to supply everything, but in order to get the people you need, you need the benefits."

Benefits can be inexpensive like flex time or continuing ed classes, or even fresh coffee and bagels on Monday mornings, according to an HR expert quoted in the article. But your top tier candidates are probably going to be looking for more.

It will cost you -- the article has some numbers on the cost of health care benefits -- but it also provides information on some options like "voluntary benefits" and "buying up" plans and demonstrates how very small companies -- a nine employee law firm is one of the examples -- are doing it.

Employees are probably your biggest expense, but they can also be your biggest asset. Having the ability to attract quality workers can be an investment that pays off handsomely down the road.

SmallBizResource