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Innovation in Hiring and Retention for Small Businesses and Startups

According to the U.S. Chamber of Commerce, small businesses employ nearly half of the American workforce and contribute to approximately 50% of America’s GDP. They are responsible for creating 12.9M jobs over the past 25 years, 5.5M of which have been since the start of the pandemic. 99.9% of U.S. businesses are small businesses. Needless to say, their support across the country is a priority of the current Administration and has become one of the key pillars of Bidenomics. Small businesses are a foundation of the U.S. economy.

In order for these small businesses to thrive, hiring and retaining talent is paramount for their growth and ultimate success. The issue, however, is that they compete directly with larger corporations, which often have deeper pockets. This is particularly prevalent in the technology sector, where the demand for software developers and computer engineers is high. Innovative IP and technologies are often developed within technology startups, which then go on to become large corporations with their success. Just think of Google, Microsoft, and now OpenAI. They were all once small startups that have become some of the largest U.S. technology companies in their fields, each with cutting-edge IP and technologies.

A Unique Approach

Humani HR, a modern-day HR consultancy for small businesses, has created a unique method for hiring and retention that is helping small businesses and technology startups successfully grow. Known as The Humani Method, it focuses on four pillars of the HR function for small businesses: compliance, operations, hiring, and retention.

“Looking over the small business landscape, I could see the issue: there was no methodology for hiring and retention. There was no real consistent approach, as it was all ad hoc,” says Carly Holm, Founder & CEO of Humani HR. “We were already finding a great deal of success through the way we systematically supported our own clients. I saw an opportunity to introduce that structure and repeatability to more small businesses. This led to the creation of the Humani HR Method.”

Holm explains that every small business and startup aspire to grow quickly. The catalyst appears to lie in hiring more employees, who can drive productivity and output. “As you would expect, business owners put most of the emphasis on immediately hiring team members while others focus on employee retention,” she says. “The issue is that they don’t necessarily understand the importance of compliance and operations, both of which impact the employee experience. It requires that the small business become more structured, consistent, and defined. Doing all of this sets up the foundation that will support their growth.”

(Photo: Carly Holm, Founder & CEO of Humani HR)

One for All and One with Tech

Humani HR’s support encompasses small businesses from all industries and regions in North America. Holm says that just under half of their clientele are technology startups. “Our approach is ideal for any small business, in any industry. It’s truly industry agnostic. We successfully support clients in tech, healthcare, manufacturing, finance, energy, and all others, but technology would be the largest single sector,” she reveals. “The technology itself is across many sectors – AI, biotech, healthcare tech, fin tech, renewal energy tech, and the list goes on. Even our clients who are not technology companies themselves are typically heavily reliant on certain technologies to support their businesses.”

It’s Working

With its structured approach and the Humani HR Method, Humani HR has already helped several hundred small businesses in North America grow in terms of their employee headcounts and revenue, according to Holm.

“And this is just the start. Over the past five years, we’ve developed a formula to consistently scale our support. We started in Canada and have expanded rapidly in the U.S. over the past two years,” Holm reveals. “The number of small businesses in the U.S. is twenty-five fold compared to the number in Canada; consequently, our growth is more rapid here, but we are growing quickly in both countries. The opportunities to continue to support small businesses are endless. I anticipate we will be able to help thousands in both countries to grow over the next decade. I’m very excited about the positive impact this will have for all the owners and their employees. Growing clients and happy teams are what drives us.”

Innovation in hiring and retention is undoubtedly necessary for the continued growth of small businesses and technology startups across North America, particularly as the global competition for technology talent increases. Humani HR’s approach is a prime example of this innovation in action.