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HR Mistakes Small Businesses Make that Can Get Them in Hot Water

Posted on Jan 31, 2013

Many people go into business for themselves every day. Some set up LLC’s, and others go a different route. However, every small business owner in Texas and nationwide has one thing in common—wanting to maintain a successful company. However, business owners can run a company into the ground by making critical human resources (HR) mistakes.

Some of the riskiest HR mistakes small businesses make, according to the Sacramento Business Journal include:

  • Failure to have well-written policies, contracts, and agreements in place. By not having clearly worded policies or an employee handbook established, your employees will get confused on what you expect from them. For this reason, it is critical that updated, well-written policies are in place so that employees have a guideline and you can maintain building your successful company.
  • Not moving fast enough to extend a job offer. By waiting too long to secure an exceptional professional for your company, you may miss hiring the most skilled person for the job and will have to settle on a so-so candidate. Ensure that you get the right people for your company.
  • Failing to consult with HR advisers. Many small businesses nationwide have tight budgets, forcing business owners to wear a lot of different hats. However, every business needs an HR professional to help them steer away from potential legal issues, in order to not make costly mistakes. Proper human resource planning can help small business owners avoid legal issues and continue to successfully grow their business.

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