At a 10-person company, every individual represents 10% of your workforce. A single bad hire does not just cost you a salary -- it costs you culture, morale, and months of productivity. Conversely, a great early hire becomes a force multiplier who attracts other great people.
Hire for the Role You Need Now
Do not hire aspirationally. Hire for the specific problems you need solved in the next 6-12 months. If you need someone to build your core product, hire a senior engineer. If you need to close your first 10 enterprise deals, hire a closer with relevant industry experience.
The Interview Process
Design your interview process to test for what actually matters: Can this person do the work? (Skills assessment) Will they thrive in ambiguity? (Scenario questions) Do they align with our values? (Behavioral interviews) Will existing team members enjoy working with them? (Team interviews)
Equity Compensation
Early employees are taking significant risk by joining your startup. Compensate them fairly with equity. Typical ranges for the first 10 employees: Employee 1-3: 1-2% each, Employee 4-7: 0.5-1% each, Employee 8-10: 0.25-0.5% each. All on 4-year vesting with a 1-year cliff.
Building Culture Intentionally
Culture is not ping-pong tables and free snacks. It is how decisions get made, how conflicts are resolved, and how people treat each other under pressure. Define your values early and hire people who embody them.
When to Let Someone Go
If someone is not working out, address it immediately. Startups cannot afford passengers. Have the honest conversation early, provide clear expectations, and if things do not improve within 2-4 weeks, part ways respectfully.
