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Becoming an employer is a landmark moment in the life of any small business. It's an important step on the road to success - but you need to be prepared.

In the video below, Simply Business's Jasper Martens explains the key points to consider when hiring your first employee, but you can read on for a more exhaustive guide.

What do you need?
It is important that you work out exactly what you need from a prospective employee. This will help you not only to find the right person, but also to make sure they are used effectively.

The first step is to determine whether, in fact, you need to hire an employee at all. It may be that it is more cost effective for you to contract with a freelancer, or to find a third party company that can fulfil your needs. Freelancers in particular can be a highly efficient means by which you can fill skills gaps in your business without the financial pressure of employing someone.

You might also want to investigate innovation vouchers, which can help mitigate the cost of bringing skills into your business. This government scheme is designed to help small firms buy in knowledge. Depending on the sort of skills you are looking for, you may be able to apply for up to £5,000 from the scheme. Read more about innovation vouchers here.

If you are confident that you do need to hire an employee, it is important that you think carefully about what, exactly, it is that you need them to do. Are you looking for someone to fill a role with very specific parameters? For example, do you want someone who will exclusively work on marketing, and should therefore have a track record in the field? Or do you need an all-rounder, to help you with the day-to-day operation of your business? By defining the role at the outset, you can help to ensure that you find the right person.

Read the full article: http://www.simplybusiness.co.uk/knowledge/articles/2013/07/hiring-first-employee/