The right time to get help is when you are hiring at a steady pace (1 - 2 hires / month), have just secured a Seed or Series A funding round, or are bootstrapped and rapidly scaling your client base. You'll have an annual revenue of $1M - $5MM and a team of 10 - 30 employees. By the time you hit 50 employees, your company is subject to state and federal employment regulations - it's best to start before then.
Herein lies your conundrum. The first HR hire at a startup needs to build the function from scratch. Doing this well requires someone who has led and, ideally, created an HR department before - an executive. On the other hand, once the HR function is built, the focus shifts to high volume, hands-on, individual contributor work, such as interview coordination, onboarding new hires, administration of benefits, etc. The first HR hire is a critical one and founders run the risk of hiring someone underqualified for strategic work or overqualified for hands-on work.
Partnering with a fractional HR leader gets you the expertise you need in a flexible package. Over the course of 3 - 6 months, you'll work with someone experienced who knows how to build the structures for attracting, managing, and engaging your team. Depending on how quickly your company is growing, once the systems, processes, and best practices are stood up, you may only need to hire an individual contributor to run HR and Recruiting.
Trick question! Contrary to popular belief, HR leaders are quite funny people. Our founder is even in a comedy improv troupe. The reputation comes from HR taking precautionary measures to keep employees and companies healthy and safe. The role of HR during the pandemic is a prime example of this. Anyway, we’ll leave you with some HR humor.