There are tons of financial advice on the internet, and when you look at them, you will see people sharing both theoretical and practical advice. You get all the answers you want from the internet, but while some people share what they have previously learned from books, I will share based on my experience as someone who runs a small business. Trust me, the size of a company depends on scaling and management, but what keeps both small and large businesses going is literally the same set of principles.
You see, in my business journey, there are days I feel like I know what I am doing, and there are days I don't have a clue about everything around me. I remember when I started my business, I had a lot of customers, but as time passed, a lot of them just left without a reason. Business wasn't as I envisioned at the beginning, with starting and ladder climbing so fast that I would have expanded in 1 year. The first year came with its own challenges, as did the second and the third.
Because I needed to be financially liquid, I had to do other businesses; therefore, I couldn't achieve my goal of full-time commitment. To keep the business going, I had to make a full-time hire, but it was a disaster because while we both thought she could do the job, she couldn't. Still on the lessons learned, I sold a lot of product at very low prices, not taking into consideration many things, including adding VAT, Rent, services, and so on.
Hiring is one process that is delicate. If you hire an underperformer, it will show in the result, and the team will have to pick up the slack if such a person is fired. One thing I have learned in the process of hiring is never to talk badly about your former employee or former employer, even if things didn't go well between you both. Talking badly about your employees puts your company in a bad light, making it look like a toxic place to work. In fact, you shouldn't talk about your former employee in the presence of your present employee. Talking about your employer is a bad one entirely because the person who intends to hire you sees a possibility of what you would do if you leave the firm in the future.
We need to understand that employees and employers are humans; we make mistakes, and we are growing. Remember that while you are the employer or the employee, you are not the perfect of both. This said, when you hire an employee, do not create policies that will make them want to hide things from you. If you are starting a business, expect that your employees who believe in the vision would also have their side hustles and so on, because they might be entrepreneurial.
One last thing I would share with you is not to hire employees because you like them, want to be friends with them, or because you see yourself in them. Hire employees for their abilities and their job description. Take your hiring process seriously because hiring and firing sporadically isn't a good look for your business.