On Hiring: Beyond the Interview

There are no books you can read or blog posts you can scan that will guarantee that you make the right hire 100% of the time. From bad chemistry to misunderstandings about role expectations, even the strongest candidate may not work out. Also, despite best efforts, early stage companies or new teams inside scaling business often don’t know what they need until they have someone in a particular role. You might realize “oops, this person is great, but their skills are not what we need!”. It happens at every company. Hiring is HARD.

While you can’t prevent occasional mis-hires, you can try to minimize the possibility by including a project or testing phase in your hiring process. This is the stage beyond the standard interview questions and reference checks that gives you a sense of who this person really is, their skills and how they will approach their role. The goal of these tests is to allow the candidate to demonstrate what they are capable of and what it might be like to work with them once they are on board. These tests are critical and will either help you dodge a mis-hire or give you a higher degree of confidence that this is “the one”. I recommend that these tests are performed when you have 1-2 finalists and just before you are ready to do reference checks and make an offer. This can be an especially helpful step if you are down to two finalists you really like.

With this in mind, below are some tips on how to do these tests. For each of these tests, it’s about how the candidate approaches the test and the problem vs. getting correct answers. Build alignment with your team on what “good looks like” for each test and plan to debrief once the assignment is complete and/or presented. Examples of what good might look like are included below.

The First 90 Days” Test

This is a good general test for any new hire, especially an executive, but also for a people manager or technical leader. Have the candidate explain what their first 90 days on the job will look like. Either leave it wide open or offer a few prompts like “Who will you spend time with?” or “How will you get to know the business?” or “What accomplishments do you hope to make by the end of the first 90-days?”. Avoid being overly prescriptive or leading questions like “Name all the team members you’ll want to get to know” or “Will you spend time with marketing and sales?”. An experienced candidate should have a good sense of how they would spend their first 90 days based on the research they’ve done on your company and insights they’ve gained from interviews with the team.

What good might look like: 

  • Thoughtful about talking with the right stakeholders and when – align with your team on who they’d expect to see on the candidate’s list and when they’d expect to meet with this new hire within the first 90 days
  • Organized and realistic about what can be accomplished in 90 days – align with your team on what you’d expect
  • Asks good questions to get a feel for the assignment – shows they are comfortable with getting clarity on situations (not arrogant)
  • Articulates assumptions made (if any) – often a requirement of leadership roles and demonstrates strong communication skills
  • Cites examples from conversations they’ve had with team members/research they’ve done on the company, market, etc. – demonstrates they listened, interested and have taken the time to understand the opportunity

Engineering and Design Tests

While there are some nifty tools out there that can test coding skills for engineers, I am a strong advocate for testing the human side of these skills. Those who design and/or build your product should be able to demonstrate their work beyond coding or portfolio samples. The best tests here are brief scenarios that demonstrate not just depth of syntax knowledge or design best practices, but also how they will work on a problem with your team. These types of tests can be done as “homework” although it’s nice if it can be done in-person as part of an onsite/video interview. Present a scenario and ask the candidate how they will approach it. You could give them some alone time to think it through and then ask them to talk you (or a domain expert) through it. Ask them to cite how they thought about it and explain the direction they took and why. Prepare to have another approach or idea for the scenario when they walk through their work. This can help gauge how the candidate handles feedback and if they are willing to collaborate on ideas.

Try not to give an assignment that takes more than 1-2 hours to do unless you pay them for the work. I know a company who always pays for the time taken to do the test and if the candidate declines payment, they make a donation to their charity of the candidate’s choice for their time. (So cool!)

What good might look like: 

  • Asks good questions to get a feel for the assignment
  • Articulates assumptions made (if any)
  • Able to explain their work and creative approach; approach aligns with how your team operates and/or offers new ideas that will expand the possibilities for your team/product
  • Comfortable receiving feedback; bonus points if they’re willing to riff on the idea and take it to a better place.

Scenario Tests For Functional Teams (Marketing, Sales, Product, etc.)

Functional leaders are often asked to present a past project they did as a way to demonstrate their work. While this lends insight into the candidate’s past work, I prefer scenario tests. While the former does tell you an experience they had and what worked or not, it will not expose their work on something new. Further, a walkthrough of a former project may not give you insight into what they (vs. other team members) actually did to achieve success. In those cases, I listen for “we did this…” which begs the question “what part of that did YOU do?”. Here are some quick examples of scenario tests for a few functional areas:

Product: Our CTO just came back from a “listening tour” with some of our customers and wants to explore a new set of features to expand our product offerings. These offerings are not on the product roadmap. What steps would you take to understand these new features and how would you approach the prioritization process?

Marketing: We’re about to launch a new product for our customers. It is the first new product we’ve launched in a year. What steps would you take to plan for this product launch and how will you measure its success?

Sales Leader: We are building a product to attract new customers in a new vertical. What information do you need to prepare your team to sell this new product and how will you set sales goals for the team?

You could imagine similar scenarios for finance, customer support or other functional roles. Remember, they still don’t know how your business functions day to day and this isn’t whether they have a perfect plan, but more about how they approach the problem. For functional roles that will require strong communication and presentation skills, have them present their assignments as they would if they were doing it for your team, board or customers, depending on the scenario. For presentations, the ideal flow is interviews, assignment for finalists, and then a presentation to all those who interviewed the candidate. Other key stakeholders could sit in on the presentation, but to mitigate overwhelming the candidate, I suggest only those who interview them do Q&A after the presentation. Q&A should probe what’s being tested (what good looks like) and not to have candidates try to get correct answers.

What good might look like: 

  • Demonstrates research they’ve done to prepare the assignment
    • Including people on your team they may ask to speak with to prepare their preparation
  • Presentation skills – both oral and written. Focus more on content and less on pretty graphics on presentation decks unless that’s an important element of the role
  • Articulates assumptions made (if any).
  • Scenario solution is thoughtful, logical and realistic – align with your team in advance on what this would look like
  • Bonus points if they add insights that the team can learn from (e.g., I once had a VP Marketing candidate tell us what was broken with our SEO and how to improve it as part of his presentation of a hypothetical scenario. It was brilliant!)

With all of the interviews and testing, you still may not get it right every time. Again, hiring is HARD. For some roles, a “try before you buy” is often the best way to go for both the candidate and the company. Not every candidate can opt out of benefits or other things they need from a full time job to do a trial, but if it’s possible or they can do it outside of work, go for it. Pick a project that’s reasonable to do in 30-45 days and agree on what good will look like before they get started. Pay them an hourly rate and set the candidate up for success so they can hit the ground running (e.g., security access to your code repo, slack, etc,) and continue to test the soft skills as they go. if applicable, tell the candidate in advance that if they are hired, equity vesting will start when they started their project vs their actual start date. It’s a nice incentive for them to take the project seriously and know you are invested in their success. 

Finally, if you’re hiring a role for the first time and no one on your team has experience with that role – no one knows what good looks like – ask an advisor, investor or friend with experience to be part of the interview process. They should not only be able to interview the candidate, but also help you formulate the tests!

Do you have other tests or projects you like to use as part of the hiring process? Please share in the comments!

Paving The Way For Less Experienced Hires At Early Startups

Photo Credit From: https://hfaplanning.com/

So many of the early stage companies I work with are struggling to hire talent. Despite the pandemic, they have raised capital and are looking to hire everything from engineering and UX to marketing, sales and support. You’d think with the pandemic there’d be a lot of people looking for work, but in startup land (tech or not), it’s definitely a candidate’s market…unless you are considered too inexperienced for a role. I especially see this for candidates in underrepresented talent groups where there are less opportunities to develop strong networks. Further, less experienced candidates coming from first jobs at a big company where they hoped to gain mentoring and experience before going to a startup can be boxed out before they even get their careers of the ground. These candidates are often viewed as unable to work in a more scrappy, smaller scale organization.

The most common reason for not hiring less experienced talent in a very early stage company (say, less than 20 people) is lack of time to manage and mentor these team members. I get it. If you are a startup leader, you want an A+ team of people who are self-starters and have seen the movie before. While also more expensive, experienced hires should know how things work and in theory should hit the ground running. That said, even experienced hires rarely work effectively and that independently on day one. Further, I don’t know a single startup that has hired an all senior team and never had to let someone go (or they quit) within their first 90 days. This can be because of a mismatch in expectations, lack of alignment or often it’s because the more senior team members had become accustomed to managing more than doing in their prior roles; they were potentially “startup curious” and couldn’t scale down and/or they had lost their player-coach edge.

It is rare that any startup gets their first twenty hires right. Iteration, learning what you need in your team and evolution as your product changes and company grows is a likely cause for lots of refactoring of teams in the first few years. Therefore, hiring a few less experienced folks could net the same result as one senior hire – some will work out, and some will not. Yes, letting someone go or having them quit and starting over is a total time suck, but that’s part of the game and most companies get better and better in finding and keeping great talent over time. From my personal experience working for several startups early on, each of which had insane growth, I found having a mix of seasoned and less experienced team members can be a super power. Less experienced team members were hungry and eager to learn and the senior team members enjoyed mentoring and handing off the more menial tasks so they could focus on meatier and often more strategic work. It was a win-win and many of those junior team members have had incredible careers after we gave them their first shot.

For the Manager

Here are a few things to consider for those anxious about hiring less experienced talent:

  • Pipeline: In this candidates’ market, hiring managers need to treat recruiting like a sales exercise. Fill the funnel! Overly prescriptive job descriptions will limit applicants (especially women) – this includes being too specific about the number of years of experience required which may not translate well for someone who’s been coding since middle school, but has only been in the workforce for 1-2 years. Get the resumes in, then decide how you want to weed out less relevant candidates.
  • Pre-Interview Screening: Don’t judge a resume by it’s timeline! As noted above, many inexperienced candidates – especially engineers – have been doing relevant work well before they went to college or may be understating their contributions in their current roles. They may lack the confidence to promote their work, but that doesn’t mean they can’t get the work done. Consider having a screening question about how long the candidate has been doing relevant work that may not appear on their LinkedIn/resume.
  • Interview: Size the questions and/or the coding exercise with the experience. Determine if the candidate can learn quickly, whether they ask good questions and whether they can deliver on time. Early on in their careers, these are the key skills that will assure they will thrive vs. showing you their perfect coding capabilities in an interview or through a take-home exercise.
  • Potential for hire: If all that is keeping you from hiring a less experienced candidate who shows tons of potential is having the time or talent to mentor these candidates, look beyond yourself and your more experienced team. Have advisors who can sign up to serve as mentors for inexperienced folks. This can range from doing code reviews before check-ins to helping an inexperienced salesperson practice their pitch. These mentors do not have to have full context on your business or the details of the work; if they are seasoned, they know what to look for and should be able to offer objective guidance (and you should offer them some equity and have them sign an NDA, obvi!).
  • On the job: Yay! You are ready to hire a less experienced team member. Set the right expectations and scale the work. As with any hire, they won’t be up to speed on day one. Their 30-60-90 day onboarding process may look different than a more senior hire though. Start small and work up to more challenging tasks. As my favorite leadership coach Brené Brown says in her amazing book Dare To Lead “Paint what ‘done’ looks like.” The most common reason for failure between employees and their leaders in any job – regardless of experience – is misalignment about what the endpoint should look like. Always define and communicate measurable, clear, goals.

NOTE: If you will hire for a role within the next six months, but are not actively filling it, and a current candidate shows promise for that future role, hire them! You don’t want to kick yourself in a few months that you didn’t hire that candidate when you had the chance. This of course assumes you have the budget to do so.

For The Less Experienced Candidate

For folks dealing with the catch-22 of needing experience, but not getting job interviews or offers because you lack enough experience, here are some things to consider:

  • Highlight Transferable Skills: Look deeply at your resume and try to tease out skills you have gained in past roles that are applicable to the job you wish to land. Were you a camp counselor while in college? You likely have strong leadership skills, can multitask and work well in teams. Worked as a waitperson in college? You have sales and customer service experience! Were you on the robotics team or helped friends build their first websites in high school? You started building your technical skills earlier than you think! This also works for job shifters – pull out the buzzwords that highlight your transferable skills. Be explicit under each role such as “Product Management Skills:…” or “Sales Skills:…”.
  • Get Help: Find someone in your network to help you further tease out your experience in your resume and help you practice your interviewing skills. Tap into former bosses, advisors and college professors. If they can’t help directly, they may know someone who can! Practice both technical skills and general communication skills. Both are important.
  • Continuous Ed: Continue to develop your skills outside of school or your day job. Take coding classes online (there are tons) or participate in one of a gazillion webinars designed for core skills like sales, growth marketing and design. A silver lining of the pandemic is that there are now so many great online resources! If you complete these courses, list them on your resume; this shows initiative, willingness to learn and the ability to multitask if you did this work outside of your day job or school.
  • Never Assume: Finally, never assume that just because a company doesn’t have a job posting commensurate with your experience that should not apply. This could be a stretch opportunity or the chance to get a warm introduction to the hiring manager for a future opportunity. Taking steps like this is a first sign that you are ambitious and creative and many people will hire talent despite a position lining up perfectly or even being open. As noted for hiring managers above, good people are hard to come by! I have personally hired many talented people without a perfect fit or a role open at the time because someone showed promise or I knew I’d need them within the next six months.

If all else fails…

Still not sure you can bring someone less experienced on board or can’t get a young startup to take a chance on you? Get creative and offer a “try before you buy” option. Even if part time, it can be great for both the company and the candidate to do a small project together – for pay. The manager can get a sense of a candidate’s work and the candidate can get a sense of what it’s like to work at the company. 

Tips on this concept:

  • Agree on a project that is no more than 2-3 weeks worth of work for a junior team member and with a clear deliverable.
  • Use the time working on the project to meet other members of the team. Schedule a quick meet and greet on Zoom or join team meetings to get a deeper sense of the company culture.
  • If the trial goes well and an offer is made, the equity vesting/cliff start date should be from the start date of the trial project. 
  • Be careful about competitive situations. If a current employer has a clause in their employment agreement that says any relevant work done outside of business belongs to them, don’t do a trial role like this for a related business (sounds obvious, but I have seen this happen too many times!).

I am truly hopeful that more young companies will take chances on less experienced hires. This is where magic can happen for all involved and I can’t tell you how amazing it is to see some of my most junior hires “back in the day” now in senior leadership roles or starting companies of their own. Hopefully, they are now paying it forward!

How have you figured out ways to hire less experienced people or find a role as a less experienced hire yourself? Please share in the comments. You can also read more about my thoughts on hiring here.

Hard To Do, And Easy To Screw Up; A Primer On Hiring For Startups

One of the most popular conversations I have with entrepreneurs I work with is how to improve their recruiting and hiring strategy. I love when they dive into this topic early on because it’s one of the hardest parts of running any company, no matter how small or big, and super easy to screw up. It’s also extra hard these days for tech companies when talent is sparse and you’re trying to create a culture of diversity. The blog post below is definitely not comprehensive and also not a replacement for a company-specific conversation tailored to your business, products and team, but in most cases these tips should be useful.

Herewith, a primer on hiring for startups.

business-people-sitting

Your Hiring Strategy

How much time have you put into thinking about what roles you will hire and when? It’s easy to say “we just raised x-million dollars, let’s hire!”. Then, oops, twelve months in you realize you have a bunch of people you don’t really need or worse, you’re running out of cash. Take some time to think about your hiring strategy. Don’t just plot out how much money you’ll spend per quarter on “heads”, but consider what roles they’ll play and how senior or junior each one will be. Also think about what roles could be filled by contractors vs. full time hires.

One exercise I often ask entrepreneurs to do is to draw an org chart of what their company might look like 12 months from now. Then, plot out the growth stages in hiring along the way. While their company will almost certainly change a lot between when they start and what it will look like along the way, having some idea of which and when roles may be added, and what they will cost, is a good way to think about how to prioritize your hires.

org_phase1

Org. Phase 1 (first 6-12 months)

org_phase2

Org Phase 2 (Months 12-18)

Beyond budgeting for growth (and compensation – including equity – each role may require), you should also consider time invested in getting those hires and lead time to fill the positions. Assume you and/or your team will spend a lot of time finding the right people, interviewing, selling candidates on the opportunity and getting them on board. Ask any first-time founder and they’ll tell you hiring consumed way more of their time early on than they ever expected. Further, just because you’ve got a position open, doesn’t mean you’ll fill it right away; especially if you keep the bar high and don’t settle for just anyone for the role. Resist the temptation to hire too fast for key positions. The opportunity cost associated with letting the wrong hire go and starting over is extremely high.

The Job Description

Once you know what roles you want to fill and when, you should write a basic job description (JD). This not only gives you a tangible to market the position, but it also serves as a communication tool with your team to be clear on what the role is and what you’ll be looking for in the candidates they may be helping you interview.

No matter where you post or share the JD, if it doesn’t attract the right people to apply for the job, you’ve failed right out of the gate. You want as many candidates to apply for the job as possible. Some tips on writing a good JD:

  • Avoid overt and subtle gender bias
    • Don’t use specific pronouns. Just don’t.
    • Test your job description for gender themed words and other potential biases. Try to keep it neutral.
  • Highlight a need for aptitude and attitude over must-have tech skills
    • Fast learner, dedication, multi-faceted skills – all good ways to suggest you care about potential.
    • Research shows that women, specifically, generally won’t apply for jobs where they don’t meet all the required skills. Don’t create an exhaustive list. Only highlight critical skills. You can always prod for more specifics once they’re in for an interview.
  • Highlight training opportunities – this suggests you can get them there vs. absolute required skills.
  • Avoid superlatives – “Ninja” “Expert” “top in their field” can all be deterrents to someone applying for the role. While we all want to hire people with high self esteem, some people are very humble and may not think they are an expert. Even if they are!

Sourcing

Sourcing candidates is a complex process that goes well beyond just posting the JD on your website or AngelList.

  • Make your “jobs” or “careers” page GREAT. Candidates who go there should feel like “I want to work with those people!” Two of my favorite career sites right now are DigitalOcean and Wistia. Both convey a strong sense of culture as well as make it very clear what positions are open.
  • Think about posting on other sites that are related to your industry. Perhaps affinity or user group sites. For example, She Geeks Out has a Slack site that has a jobs channel. Only women geeks are on that site and many are looking for jobs! Or maybe a hardware meet-up site or industry association site.
  • Your best hires will come from people you know. Consider using a networking tool like Drafted to tap into your network and your friends’ networks to find the right people. Even a small bounty can be a big incentive to get the right referrals.
  • Think about having a BIZZpage or post on the Jobs Board on VentureFizz (Boston) or similar sites to get more local visibility.
  • Most VCs have job postings on their website for their portfolio companies. If you’re venture backed, leverage this!
  • Don’t just promote the job on your social media channels but ask your network (including advisors, mentors and your board) to do so as well. Make it easy for them by creating the tweet, FB post, etc, with the appropriate text and links.
  • Campus recruiting is an awesome way to get young talent – especially here in Boston! Try to get resumes of students who will be at job fairs in advance. If you see some you like, reach out ahead of time and make contact. Maybe ask them their t-shirt size (if you have wearable swag) and tell them you’re exited to see them at the job fair. It’s a great way to get candidates to actually stop by your booth. Have swag at your booth and, most importantly, have people who know your company and understand the roles you’re trying to fill.
  • On whether to use outsourced vs. in-house recruiters, it depends on what your hiring strategy is.
    • If you think you’re going to have a regular cadence of hires over the next 1-2 years or more, hire a permanent recruiter who can manage the entire lifecycle – from helping with job descriptions, to sourcing, managing the interview process and on boarding your new hire. Someone who’s in-house will understand your product, your culture and the kinds of people you hire. They will save you gobs of time and energy when it comes to finding and hiring the best candidates.
    • Outsourced recruiters are great for targeted, high ranking, positions like a head of sales or a VP of Engineering. Don’t waste your time combing your network for these people unless you find someone right away. That’s what these guys are good at. Have them work on a fee for placement contract vs. a retainer up front. This is a good way to motivate the recruiter and the best ones will be happy to work this way.
  • Finally, leverage your team. Remind everyone at your company that they are on the hook to always be looking for talent and selling your company as a great place to work. The best hires often come from internal referrals. Consider offering a referral bonus for referrals who are hired and stay on board >90 days. Remember, though, some cash or cash equivalents (e.g., gift cards) are considered taxable income!

Resume Review

Fewer candidates are relying on paper resumes these days in favor of LinkedIn, but you will still see the standard resume for awhile. Here’s what I look for when I read resumes, as well as LinkedIn and Github profiles and Google searches:

  • A summary paragraph should help me understand a candidate’s brand. Are they a builder and leader of teams? A technology architect that knows how to build something from the ground up and to scale? Can they close a deal or build a relationship with strategic partners?
  • Track record is important. These days, it’s not unusual to see someone 1-2 years one place and then another. I look for “jumpers” though – people who have been <1 year in a few places tells me they either can’t fit in or they have made a lot of bad judgment calls on the companies they’ve joined. One or two jumps among longer stints are OK though. Especially if it’s someone who had a long track record somewhere else, and is now trying to find their next home.
  • resume_reviewI want to see more about what someone has accomplished than their responsibilities – ideally with metrics. For example, they wrote a coding standards guide or implemented a scrum process that improved code release velocity by X% or created a sales strategy that improved MRR by Y. What someone was/is responsible for is not as powerful as what they actually got done!
    • Unless they just graduated or I’m hiring for a research position, I don’t want to see education on the top. I care more about what they’ve actually done than where they’ve been educated or their GPA. Anyone with no work experience, even if a recent grad, is suspect for a startup. It questions how hungry this person is and how hard they’re willing to work.
  • If it is a research type of role, then I do look for publications with others, patent filings (even if provisional) and conference experience. This tells me they’re serious about their work, can collaborate, can bring something to a conclusion and present their ideas. Without all of this, I’d worry they are more into experimenting and not getting anything of significance done and/or able to work with others.
  • On LinkedIn, I often get the general resume/CV info I need, but more importantly, I look for how the candidate has chosen to present themselves; like a good summary and a full story of their job history, education and groups they’re a part of. If they are an active candidate looking for a job (vs. a passive candidate I’m trying to lure away from a comfortable job), then I expect their profile to be up-to-date and clean. They should be savvy enough to know that hiring managers and recruiters will be searching for them on LinkedIn. I expect to see alignment with the resume/CV they provided. I also expect to see a few, current, recommendations for active candidates. Finally, I look for mutual connections who could be good back door references (more on this below).
  • Regarding Github, it’s a nice way to see how an engineer contributes to open source projects or their coding style or community followers. However, keep in mind it is a not always an indicator of someone’s professional work. For a very technical role, I still have engineers provide real coding samples and/or do a small coding exercise with one of my engineers to see how they code in the real world.
  • Finally, Googling a candidate for anything “suspect” never hurts. Bigger companies do background checks. As a startup, a good check can be just looking to see if you can find arrest records or other behaviors that may not gel with your company culture. However, not every bad find on a web search is a flag not to hire. Some people drank too much in college and have gone on to have wonderfully successful professional lives 😉

The Interview and Candidate Experience

So many companies underestimate how important candidate experience is to landing the best hires. From the first blush with the candidate in an email or phone screen, to their onsite and offer process. This is as much about you finding the right person as it is them falling in love with your company and the opportunity.

  • Phone Screens: Whether you have a recruiter do it or you’re doing them yourself, you should have phone screen standards to ensure there’s consistency across candidates. Your goal with a phone screen is to not waste anyone’s time – yours, your company’s or the candidate – and to decide whether someone should come in or not for a full on interview. There are some good tips here on phone screens.
  • The Onsite Interview:  Be organized!job_interview_woman-smiling
    • Line up the right people to interview the candidate. No more than 2-3 people who will work with them.
    • Be clear to each of the interviewers on what their role is for the interview – for example, Joe will test their coding skills, Mary will talk with them about their teamwork and collaboration, and Bob will dig more into accomplishments at last job(s) and what they want out of this role. All interviewers should see the JD and candidate resumes at least a day before the interview.
    • Everyone is responsible for A) assessing culture fit and B) selling the job, company and opportunity. Make sure less experienced interviewers know the basics around what they can and can’t share about your product roadmap, financials, etc. Drill into their heads that if they don’t know the answer, tell the candidate they or someone else will get back to them. Don’t make stuff up!
    • Make sure everyone who interviews candidates knows what’s illegal to ask!
    • Optional: Have them sign a NDA before they come in or before interviews start so you can share more with the candidate about the role and what you’re building.
    • Have an agenda for the candidate when they come in. The recruiter or hiring manager should walk them through it and explain who they’re meeting with and why (e.g., “Joe is a developer you’d work with” or “Mary is the team leader from our product team).
    • Make sure the last person they meet with knows what to do in terms of walking them out, handing them back off to the recruiter, etc.
    • Whomever wraps up should NEVER make any promises. Just tell them it was great to meet them and whomever is the hiring manager or the recruiter will be in touch soon.
    • Only the recruiter and/or hiring manager should inquire about compensation requirements, start dates, etc.
    • Nice touch: Give them materials/swag they can take with them after the interview. Perhaps a white paper on the space you’re going after or a fun t-shirt to remind them how cool your company is.
    • NOTE ON REMOTE HIRES: If at all possible, have them come in for face-to-face interviews and pay the expenses associated with this visit. If not, all the same rules apply for a video interview as in face-to-face.
  • After the Interviews:
    • Have everyone send feedback to the hiring manager/recruiter without biasing others. Don’t walk by the next interviewer and say “she’s awesome!” or roll your eyes.
    • Keep feedback consistent: Strengths, weaknesses, opportunities and a Hire or Not Hire statement. No neutrals! Each interviewer either wants to work with this person or not.
    • If there is a big divide on a candidate (50-50 hire/not hire), then have a roundtable discussion so everyone can understand each other’s point of view. The hiring manager should read back everyone’s feedback and then ask people to share more details on concern or passions about the candidate. Ultimately though, it’s the manager’s call.
    • Fast turnaround is important! Do not leave a candidate hanging more than a day or so. Immediate follow up and next actions can make or break landing someone good and it leaves an impression on your company that can travel with the candidate. Follow up with a thank you for their time. If you’re passing, just say they are not a fit for the role and move on. If an offer is coming, ask for references and be specific on when you plan to make a decision. Let them know when they should expect to see an offer as well.

Regular and Backdoor Reference Checks

Although it did happen to me once where this was not the case, most references are going to be with people the candidate can trust to say great things. So, use those references as an opportunity to learn more about the candidate. A few key, but not all, questions I usually ask:

  • Confirm the role they were in with the reference and how they worked with the candidate (manager-employee, peer, etc.)
  • Ask them to highlight a particular accomplishment or contribution the candidate made and why it stuck out.
  • As their potential manager, what areas you should focus on to help grow the candidate in this role. (this is a great way to uncover weaknesses without asking directly!)
  • Would you hire him/her again if you had the chance?

Note that some companies have strict rules about references and won’t let someone do more than confirm title and dates of employment. The only time I read into someone not wanting to give details as a negative is if they explicitly say they prefer not to give a reference or have nothing they can share. I will usually ask if it’s company policy and if not, read between the lines!

Finally, on backdoor references, I highly recommend them. Be respectful of the candidate though – especially if they are still employed – and don’t blow their cover. Only ask someone to introduce you to someone who knows the candidate if they can trust that the person will respect the candidate as well and give you honest feedback. I rarely make a hire without at least one backdoor reference.

Your First Experienced (Senior) Hire – Don’t Be Ageist

A lot of startups come from young, inexperienced, founders with little to no prior work experience. It can be a little daunting when you decide (or your Board tells you) that you have to start hiring people 10+ years older and more experienced than the founding team. The idea of someone older or with more experience than you can cause all sorts of worry about culture fit, being patronized or steamrolled into doing things you don’t want to do. The best advice I can offer is experience and culture fit trump age. Many older candidates have worked at companies with much younger people before and if they’re hired to be the expert in a particular field, let them be the expert, but you are still the boss. It may mean they’re not keen on beer pong on Friday nights or can’t relate to the cat GIFs your team shares on Slack, but if they get along with everyone and meet the needs of your company, get past it. Those senior hires are going to take your company from good to great.

Making the Offer & Closing the Deal

Making the right offer for a startup hire is HARD. An experienced candidate has to make tradeoffs between salary and equity and no two candidates are the same. I could do a whole blog post just on this topic! Instead, I will give you a few things to think about and point you to a few resources:

  • Decide what kind of company you will be in terms of compensation. Is equity something you want your employees to value more than salary? Is parity among team members important? (because they will talk, trust me!).
  • Are you willing/able to pay market rates for a couple of key hires? If you can’t, can you set expectations that you will adjust salaries upon future fundraising/revenue growth? Will you be able to explain to earlier hires who have more equity than comp that an experienced key hire is getting market rates when they’re not? job_offer
  • How much equity will you put aside to refresh grants/hire future team members?
  • How willing are you to negotiate? Will it be a take it or leave it offer, or will you build in some room to adjust comp/equity up/down depending on the candidate’s needs?
  • What other compensation will you offer like healthcare, 401K or maybe Uber and food reimbursement for late night work? Not all startups can afford perks, but if you have some to offer it can make a huge difference for some candidates.
  • Resources: Understanding Equity, AngelList Salary Data, more tips on startup salaries and equity from my buddy @payne92.

A Quick Note on “Try Before You Buy”

A more common practice is to ask someone to work on a small project as a consultant so you can try each other out before either party commits. This can be very helpful – especially if they get some work done for you in the process! Be super clear on expectations here. Hire them as a contractor and pay them. Make sure they sign a simple contract that makes it clear they assign all of the work to your company and it’s under NDA. Set a timeline and agreed upon outputs (code check in, documentation, white paper, whatever…). Make sure they understand what you expect to see and that if it passes, they will get an offer. Do not be the company that keeps hiring “temps” to get work done with no intention to hire.

On-Boarding

Your candidate has accepted the offer! Hurray! You are so close to being done, but not quite over the finish line yet. Make sure your company is everything you promised and more:

  • Send a welcome “package” with general info, maybe some pre-reads about the company, the technology or market. Also include any benefit information (if applicable) in advance so they can think about what they’ll sign up for.
  • Get some info up-front to make the first day easier – like what email address they want (if they get to choose) and maybe a heads up on tools your company uses like Slack, Trello, Github, Intercom, etc, so they have a chance to familiarize themselves if they are new to these tools.
  • Order them a desktop, laptop, or whatever other tools they’ll need (if you cover that expense for your employees) so, ideally, these items are onsite when they start. It’s also nice if you can set them up on various tools, email, etc. before they arrive so they can jump in right away.
  • Figure out where they will sit and who they’ll have lunch with on their first day! So basic, but so welcoming and so often forgotten! Also, tell them what are normal work hours for your team and when should they arrive on their first day.
  • Make their first day and first week feel warm and fuzzy. Take them to lunch, introduce them to the team (locally and on Slack or the like if you have remote peeps). Give them opportunities to get familiar with tools, content and processes. Check in with them at the end of the first week and ask how it went.
  • Most important, ask them how their candidate experience was throughout the process so you can improve things for the next set of hires.

It’s crazy to think this is not what I consider to be an exhaustive list when it comes to the whole hiring process, but I hope it will get you and your company on a good path towards hiring top talent! Have some tips of your own on this topic? Please share in the comments below.

[Updated Nov 2017]