Don’t worry about overpaying for talent. The cost of a bad hire is 20 times that.
Mistakes cost you money, reputation, and sanity.
A bad hire infects the rest of your team.
When they finally leave, you also lose the investment you made in them, plus you have to rescue projects they abandoned.
On the other hand, a great hire takes the burden off your shoulders instead of creating more problems for you to solve.
They anticipate what’s needed and spring into action without you needing to initiate it for them.
Their value keeps multiplying over time since they know your business well and build up teams, scaling the goodness.
When this happens, reward them handsomely and proportionately to their value.
The most successful entrepreneurs I know are not the smartest or hardest-working people. They build up great teams around them.
Same mistake as hiring someone you like, whom YOU believe in, but they haven’t demonstrated that they are committed.
They will give up easily, causing you to lose the investment you’ve made in them.
Avoiding loss is the key to hiring instead of trying to give everyone a chance.
See my blog post on the “5 most important traits to run a successful business” and Having Good People Is Key to Your Business!