HR Basics for Small Business


Every small business will have some sort of issue when it comes to Human Resources-related problems. However, a lot of these problems can be avoided if business owners just take the time to actually invest in establishing all of the necessary policies and practices that will help prevent any unnecessary problems from arising.

Although it may be a bit difficult as well as time-consuming to actually develop these sample policies, employers will find that it is worth doing so. This article is going to focus on the HR basics that will help secure you and your small business for the present and the future.

HR basics you need to know

If you want to make sure that your business is properly protected, then you need to know the following Human Resource basics:

  1. The first thing that you have to do is to find out about the federal or state laws concerning employee wages, hours, overtime and required posting in the workplace. One of the best ways to figure this out is to go online and find the site that will allow you to view these laws. Or, if you are feeling traditional, then you can simply go to your state or city’s government office in order for you to acquire this information. You may also like HR strategy templates.
  2. Payroll processing is always a taxing thing to do. There are a lot of complex things that you have to consider such as your tax deductions and withholdings that have to be executed precisely every time payroll has to be processed. So, it is best that you assign someone professional to handle the sample payroll processing if you want to make sure that all of the numbers are accurate.
  3. Draft a proprietary inventions agreement that states employees and the contractors agree that anything they create or anything they enhance on your behalf is considered as company property. If you do not want your employees to walk out the door with the inventions or projects that you paid them to create, or if you do not want them to claim ownership of the work or product, then you have to make sure that you create this document and have them sign it.
  4. Creating an employee handbook. This is never a fun or easy thing to do as creating an employee handbook requires that you place down every single policy and piece of information that an employee needs to know. All you have to do is remember that a well-written employee handbook is an important tool in preventing employee disputes or claims before they start. This is also the best way you can communicate with your employees regarding all the rules and regulations of the company, as well as the benefits that their employment brings, and the consequences should they decide to break any of the company’s policies. It is highly recommended that you have a legal advisor review your handbook prior to publishing it. Once everything is settled, it is best that you have your employees sign an acknowledgment form after they are given a period of time to go over the handbook. This way, it will protect your company as the acknowledgment should state that the employees have read, understood, and agreed to the policies of your business upon signing. You may also see HR contract templates.
  5. Work on your recruitment procedures. This is one of the most important HR basics as you will need highly qualified employees if you want to run a successful business. Your best bet in gathering only the finest candidates for employment is through networking and involving yourself in your industry’s local community. You can even set up a referral program wherein employees will be rewarded should any person they refer gets employed by the company. Once you have set up an interview with the best possible candidate, just make sure that you ask questions that are related to the job. Do not ask anything unnecessary such as questions regarding the candidate’s civil status or her religion. These questions have no place in the professional world so make sure that they are not included. You may also like HR resume templates.

It is never easy to fulfill the Human Resource basic needs of your business, but you need to do it if you want your company to be a big success in the industry. If you would like to learn more about the HR basics of a small business or anything related to this particular topic (such as how to create HR manual work rules), then check our other articles.

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