Hiring Your First 10 Employees: Avoiding the Most Common Startup Mistakes

Mindset first: hire for outcomes, not activity

Your first 10 hires either compound your growth or compound your chaos. Hire people who own outcomes, not task-tickers. Create clarity, coach for performance, and fire fast but fair if it’s not working.

The structure that prevents 80% of hiring mistakes

1) Write a one-page Role Scorecard (not a job description)

• Mission: why the role exists (1–2 sentences).
• Outcomes: 3–5 measurable results for the first 90 days and first 12 months.
• Competencies: 6–8 behaviours/skills you can evidence.

Constraints: tools, budget, reporting line, KPIs.

Example (Sales Development Rep, 90 days):

• 300 qualified outbound touches/week; 12 booked qualified meetings/week; pipeline value £150k added/month; CRM hygiene 95%+.

2) Choose your first 10 hires mix (typical)

• Revenue: 1–2 SDR/BDR, 1 AE.
• Delivery/Ops: 1 project/ops coordinator.
• Marketing: 1 content/marketing generalist.
• Product/Service: 2 core delivery roles.
• Finance/People (part-time/outsourced): bookkeeper + HR support.
• Founders: stay on sales and key customer outcomes.

3) Build a simple talent pipeline

• Sources: founder network, customer referrals, targeted LinkedIn, specialist job boards, graduate pipelines.
• Pipeline stages: Applied → Screen → Hiring Manager → Task/Presentation → References → Offer.
• SLA: 48-hour response for every candidate; weekly pipeline review.

4) Run structured interviews (Topgrading-lite)

• Screen (15 mins): communication, motivation, salary expectations, right-to-work.
• Deep-dive (45–60 mins): outcomes they achieved, how they measured success, how they handled failure.
• Task/Presentation: job-relevant (2–4 hours max).
• References: manager + peer; ask about outcomes, reliability, rehire.

Core questions:

• “Tell me about a target you owned. What was the result? How did you measure it?”
• “Describe a time you were behind. What did you change?”
• “What’s the hardest feedback you’ve received? What changed afterwards?”

5) Keep offers simple and aligned

• Clear base + variable (tied to outcomes), equity only where relevant and understood.
• Offer doc includes role scorecard, start date, equipment, probation length, review cadence, confidentiality/IP assignment.
• UK note: ensure right-to-work checks, contracts, basic HR compliance (seek professional advice).

6) Onboard like you mean it (first 30–90 days)

Day 1–7: tools, data access, shadowing, first micro-project.
Day 8–30: weekly 1:1s, first outcomes delivered, feedback loop.
Day 31–90: increase scope, peer review, customer exposure, 90-day review vs scorecard.

Onboarding checklist (essentials):

• Accounts + security, SOPs, org map, role scorecard, buddy assigned, first customer/task win by Day 10.

7) Manage performance with cadence and clarity

• Weekly 1:1 (30 mins): goals, progress, blockers, wellbeing.
• Bi-weekly pipeline/ops review.
• Monthly outcomes review against scorecard.
• If underperforming: performance improvement plan (PIP) with specific outcomes and timeline.

8) Culture by design (not slogans)

• 3–5 behaviours you reward and expect (e.g., ownership, candour, speed, customer obsession, craft).
• Rituals: weekly wins, demo day, AARs after launches.
• Zero-tolerance: blame, secrecy, silent failure.

9) Compensation sanity

• Pay fairly to market; avoid big equity promises early.
• Variable pay only for controllable outcomes.
• Benefits that matter: learning budget, good equipment, flexible working agreements.

10) Your 30-day hiring sprint

• Week 1: finalise scorecards; open roles; set pipeline in ATS/CRM.
• Week 2: screens + deep-dives; shortlist; design tasks.
• Week 3: tasks/presentations; references.
• Week 4: offers and onboarding prep.

Use AI to speed everything up

• Draft role scorecards and job posts aligned to outcomes.
• Create interview scripts and evaluation rubrics.
• Generate onboarding checklists and 90-day plans.
• Summarise interviews into comparable scorecards.