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4.5 Hiring employees or contract staff

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If your business grows to the point where you need help, you will have to decide whether you want to hire an employee or perhaps hire occasional contract workers.

Becoming an employer requires you to assume a number of additional responsibilities as a business owner. You will have to register with the local labor authority, make arrangements to pay your employees on a regular basis, make the necessary tax payments to the government on behalf of your employees, maintain employee records, provide a safe work environment, provide training and supervision, supply and maintain the tools needed by your employees, and, most importantly, take legal and financial responsibility for your employees’ actions.

Employer-employee rules and regulations are governed by the laws of the jurisdiction in which you live. If you want to hire an employee, you will need to conform to the law in terms of hours of work, minimum wage, workers compensation board coverage, vacation pay, severance pay, and so on. All this adds another management facet to your business and can take a substantial amount of time and effort. However, if you need to expand your operation and take on larger and more complicated jobs on a regular basis, this will be time and effort well spent.

If you need extra help on an occasional basis only, it is much more convenient to hire someone on a contract basis. This saves you the time and extra paperwork of having a regular employee. For most small handyman businesses, hiring contractors from time to time is probably the most practical solution. Unless your business grows significantly, it is unlikely you will be able to provide enough work to someone on a regular part-time or full-time basis.

In our business, we do not employ anyone full time, but we occasionally hire a student to assist with large summer jobs on a contract basis. We pay more than the minimum wage and supply all the necessary tools and equipment. We have opted to keep our handyman business small and easy to manage. When necessary, Kevin can also call on other tradespeople he knows to complete portions of work on contract to the customer.

Start & Run a Handyman Business

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