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Advice March 8, 2026 6 min

When should you hire your first employee?

The financial indicators to review before making your first hire.

Entrepreneur reviewing numbers before a first hire

Hiring your first employee changes the rhythm of the business. It is not only a workload decision, but also a cash flow, margin and management decision.

Validate recurring demand

A busy month is not always enough. Look for stable, repeated and profitable demand over several months.

If the work depends on one uncertain contract, a contractor may be safer than a permanent hire.

Calculate the full cost

Salary is only part of the cost. Add employer charges, insurance, software, equipment, training and supervision time.