At some point, a successful work from home business will grow large enough that one person won't have the time to do everything that needs to be done in a day. That's when you'll need to hire some staff.

Staff Will Help You Increase Profits

It's likely you were a wage earner for a good part of your work career, but you may not realize the exact nature of what it meant to be an employee.

The fact is, you were hired to help create profit for your employer — if hiring you didn't help them be more profitable, they wouldn't have hired you. When you accepted a wage, you agreed to create profit for your employer.

In exchange for paying your wages, your employer took all the financial risk while providing you with the resources you needed to carry out your duties. The understanding is, of course, that if you ever stopped making money for the company, you'd be out of a job.

So you can see why the situation is win-win for your employer: they get to keep most of the profits you create, while at the same time maintaining enough control over you so that you don't create any extra risk for them.

Employing people is basically an investment — you put in some money as wages and, if you hire the right people, you get more profit back. If your profits stagnate, you can cancel or adjust your investment by letting a bad employee go and hiring someone else.

The Interviewed Becomes the Interviewer

There are many ways to find staff who will help you increase your profits, starting with placing a classified ad for the job in your local newspaper. Also, depending on the nature of the position you have available, you may be able to hire a freelancer online.

Positions such as bookkeepers, graphic and web designers, copywriters and so on are easily hired online at freelance sites such as Elance.com. However, if you need someone to be physically present at your location to perform duties such as shipping and packaging, product assembly and so on, you'll need to hire someone in your local area.

The next step in the hiring process is conducting an interview. Since you've probably been through the interview process yourself, you probably enjoy being on the on the other side of the table or a change. During the interview, keep in mind that the purpose of the interview is to try to figure out whether the person you're interview is the right person for the job you have available.

Here are a few ideas for questions:

'Tell me about yourself.' This may sound clichéd, but the applicant's response will give some clues about their personality and what they think is important, as well as their ability to think on their feet.

‘Why should I hire you?' You're looking for the person who's been listening to what you've explained about the job and responds by telling you how they meet your needs.

You can also give an example of a real problem in your business and ask them how they'd solve it. This will give you more insight into their abilities and it's gives them an opportunity to impress you as well.

‘What did you like or dislike about your last job?' This gives you an opportunity to spot problem candidates — if they use it as an excuse to have a bit of a moan, you probably shouldn't hire them.

Remember ask them open-ended questions so they can expand their answers, rather than yes and no questions, which will just lead to short answers that won't help much.

Finally, always keep in mind that by law, you can't ask as anything that could be deemed as discrimination, including questions related to age, race, religion, nationality, marital status, medical history or disability.

Paying Their Taxes

Finally, when you hire someone, you need to remember that you're setting yourself up for tax complications. You'll need to withhold their income taxes, as well as various other medical and security/insurance taxes. If you get this wrong, you can set both you and your employees up for a lot of inconvenience.

Another option to prevent having to deal with all the extra bookkeeping regarding employee deductions is to hire a freelancer who already has their own business setup and have them invoice you for the work.

By now you should have an accountant who can help you. Make sure you're paying a decent wage for the job, otherwise you'll have a high turnover rate is more costly in the long run.

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