Common HR Challenges in Start-ups

When it comes to HR for your start-up, it’s about creating HR plans, policies, and processes that meet short-term needs while taking into account long-term plans. Having those items in place will do wonders when it comes to preventing HR challenges.

“That’s why the best companies have HR as an executive position and a seat at the table,” Siegel says in an interview with Stanford Graduate School of Business. The best companies are the ones that understand that their people are the most important thing they’ve got to focus on.

Proper HR strategy is integral to the survival of any business, including start-ups, and not having one in place can contribute to the failure of a business within its first year. With the start-up community booming all over Europe, developing a comprehensive HR policy should be close to the top of the to-do list, and we have compiled some of the HR challenges that may affect a start-up.

Despite there being a plethora of off the shelf HR policies available for download or review on the internet, it is best to customize a policy that truly reflects the integrity and values of your business.

For a young start-up, the millennial approach is one that is far more creative, innovative, and laid back, and you may be reluctant to implement a stringent policy in fear that it may crush this culture. But to ensure that your start-up is protected from factors that could hinder its profitability and growth, having an HR policy just makes good business sense — regardless of size or stature. Having an HR policy in the form of a handbook or as a packet that accompanies a job acceptance letter — which is to be signed and returned to you — gives you something tangible to refer to should you need to.

In keeping with the digital revolution, HR documents can even be completed online and stored away in the cloud. It’s good practice to keep the following information on file with each employee profile: basic personal or sensitive information, copies of CVs, work history and performance evaluations, and any sick days and holidays taken.

You are required by law to keep a record of any workplace accidents or injuries to comply with workplace health and safety laws. Keeping staff records aids you when business profiling because it allows you to match your staff resources with business requirements as well as managing or assessing induvial and team performance and, if necessary, defend the business against tribunal cases.

Does your business have an HR policy specific to your values and workplace? If so, what are some additional benefits that you’ve seen from having one? Let us know in the comments below.

If you have any questions please do not hesitate to contact us at or 702-979-2119.

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