In 2019, there were four employees on average when a company launched. In other words, most ambitious entrepreneurs were balancing books and issuing paychecks from the instant they opened their doors.
This immediate need for quality talent is a critical hurdle as companies get off the ground. It requires strong hiring tactics (i.e., don’t hire your siblings to do them a favor).
Properly staffing a startup also takes a high-quality talent pool — which is why entrepreneurial leaders should be looking beyond national borders if they want to harness the best talent possible to propel their business ventures forward.
Here are three of the biggest reasons leaders in small businesses should be recruiting abroad as well as at home.
1. Unlocking untapped and readily available pools of talent
Since that 2019 statistic was reported, multiple global crises have normalized remote work. In the last few years, the world has suddenly become comfortable with working with individuals who are in other countries, from other cultures and in different time zones.
In fact, the dramatic shift in accessibility is the number one biggest factor for why entrepreneurs should be recruiting abroad. A few years ago, hiring workers in other countries wasn’t an option for most leaders. This was especially true for smaller brands that lacked the HR infrastructure to oversee the complexities involved with onboarding overseas talent.
Now, it’s normal to expect employees to work online. Many have embraced the concept of asynchronous work, which productivity tool Friday defines as “work that you do at times that are convenient for you, not necessarily dependent on collaborative or real-time communication.” This makes it easier to adapt to time zones and flexible work schedules.
Put it all together, and it’s never been easier to hire remotely. Not only is it the new normal. The workplace is uniquely acclimated to working with remote workers, whether they’re in their home office next door or half a world away.
2. Managing the intricate aspects with tech
Tech is clearly part of the accessible element that makes an international workforce possible. There are obvious technological advantages, like using Slack to communicate or Asana to create an online workflow. However, the tech benefits go beyond communication and collaboration.
In the past few years, tech tools have popped up that help with every conceivable aspect of running an international workforce — including hiring internationally. Recruiting abroad is a complex activity, so tools like a global employment platform will help companies avoid making mistakes that can be prohibitively expensive.
Compliance mistakes can be costly because there are multiple ways things can go wrong. Taxes, payroll and benefits requirements are all challenges to hiring someone who lives in another country.
This used to be a barrier to entry for small businesses looking to tap into the international talent game. Now, platforms like Oyster and others make it simple, seamless and hassle-free to address compliance, onboarding and other traditional international recruitment barriers.
3. Harnessing diverse skills and perspectives in a venture
Homogenous workforces are inherently limited. It doesn’t matter what factor you’re considering, a group’s race, culture, gender, age — you name it. Regardless, if you limit your options, you limit your output.
This is where international hiring can truly pay its biggest dividends. When a larger company is willing to embrace a diverse workforce, it can have a huge effect. Washington State University highlights that diversity can enhance a workplace by:
- Improving the number of talents, experiences and skill sets to apply to creative problem-solving.
- Cashing into increased financial performance thanks to greater innovation and greater EBIT (earnings before interest and tax) margins.
- Boosting talent retention by attracting quality talent and fostering loyalty through a positive work environment.
- Enhancing the positive conception of a brand in the eyes of its audience.
These are significant competitive advantages for any business. However, in the context of a startup, they are uniquely enhanced. When a startup leader willingly looks for a diverse number of perspectives and skills to staff their new company, they give their burgeoning enterprise the ability to tap into countless creative outlets.
This happens during (not after) a time when official standards and procedures are being established. The result is an innovative founding team with a healthy, multi-faceted perspective that can adapt and adjust quickly due to the lean nature of a startup.
Elevating emerging businesses with global talent
There are many reasons to look abroad when staffing a startup. Logistically, it’s never been easier to source and recruit talent all over the world. Technology has also made the most intimidating elements of international hiring — things like compliance and payroll — frightfully easy.
In addition, the benefits that come from having a diverse workforce with multiple perspectives are invaluable. They allow a startup to embrace every twist and turn of that initial launch and growth period with a unique level of creativity and flexibility that maximizes its chances of success.
Featured image provided by Andrea Piacquadio; Pexels; Thanks!