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Sweet marketing music

Tanner Montague came to town from Seattle having never owned his own music venue before. He’s a musician himself, so he has a pretty good sense of good music, but he also wandered into a crowded music scene filled with concert venues large and small.But the owner of Green Room thinks he found a void in the market. It’s lacking, he says, in places serving between 200 and 500 people, a sweet spot he thinks could be a draw for both some national acts not quite big enough yet for arena gigs and local acts looking for a launching pad.“I felt that size would do well in the city to offer more options,” he says. “My goal was to A, bring another option for national acts but then, B, have a great spot for local bands to start.”Right or wrong, something seems to be working, he says. He’s got a full calendar of concerts booked out several months. How did he, as a newcomer to the market in an industry filled with competition, get the attention of the local concertgoer?

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by Pat Connelly
June - July 2006

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Online services might do for some basics, but beware for others

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Cover basics before hiring first employee

Before you talk to your first applicant, know what the job consists of and what skills are needed. The best way to be clear is by writing a job description, which typically answers the following questions.

Why does your company need this position? This becomes the purpose. For example, for an administrative assistant, the purpose may be “to provide administrative support to all employees.”

What are the responsibilities of this job? These become the job functions, which may be further divided into essential functions (required to perform the job) and nonessential functions (helpful, but not necessary to perform the job).

You always want to include a function that states something similar to “performs other duties as assigned” to identify functions performed occasionally. You may also state that “to be at work as scheduled and on time” is a job function.

Having a job description allows applicants to understand the job and helps identify any need for reasonable accommodations. For example, an employee with a vision disability may need a monitor with a large screen.

What skills, work experience and educational level are necessary to do this job? This may include specific software, for example, or customer-service skills, an associate degree, and two years of relevant experience.

What working conditions apply to this position? This question identifies whether the employee is required to sit, stand, bend, turn, lift or be subjected to extreme temperatures or chemicals.

You may now decide whether the position is nonexempt (eligible for overtime) or exempt from overtime. A description of the Fair Labor Standards Act (FLSA) classifications of exemption from overtime may be found at www.dol.gov/esa/regs.

Next, determine pay by learning what this position earns in the market and by what the person is currently earning. The pay for an administrative assistant, for example, varies greatly, as does the skill level. Other business owners, industry associations, professional associations and so on are good sources for this info.

What to ask
You are ready to move on to the interview process by creating your job-related questions. Focus on the job requirements rather than anything related to protected-class categories.

Federal and Minnesota law provides protection against discrimination based on age, race, color, religion, gender, national origin, disability, creed, sexual orientation, marital status, receipt of public assistance, membership or activity in a local commission, past, present, or future membership in a uniformed service, and any other class protected by law.

You will want to use an application in addition to receiving a resume. Most applications include language at the end that states that everything in the application is factual and provides an authorization to check references.

Ask the applicant if any gaps in employment exist. You want a reasonable explanation, and do confirm it.

Once you have selected your final candidates, check work-related references. Most employers will only provide title and dates of employment; however, there is a Minnesota statute that requires employers to disclose, in writing, certain information pertaining to acts of violence, theft or illegal conduct.

Ask the candidate for names and phone numbers, and talk directly to past supervisors whenever possible. Questions to ask include what were the applicant’s job title and responsibilities, dates of employment, strengths and areas for improvement, and the reason for leaving.

Small employers often wonder about doing formal background checks such as criminal history and drug testing. Consider this in light of your industry and the position for which the person is applying.

You may be required to conduct drug testing if your company is subject to Department of Transportation rules. You must have a written policy before drug testing.

Minnesota law requires you to provide certain information to applicants and employees when conducting some criminal background and credit checks. Work with your attorney to develop your policies and procedures.

When you offer the job to the candidate, you should state salary information in terms of an hourly rate or, if salaried, in terms of per payroll. In other words, for example, a person might earn $1,000 per biweekly paycheck or $26,000 on an annualized basis.

Paying employees
Choose how often you will pay employees. You must pay at least once every 31 days and on a regular pay day designated in advance. Most employers pay either on a biweekly basis (every two weeks) or semimonthly (the 15th and last day of the month). Of course, the more frequently you pay, the higher your payroll processing costs.

Inform employees of what your pay week is for purposes of paying overtime. Designated work weeks are typically Monday through Sunday or Sunday through Saturday. Once you choose your work week, plan to stick with it because it can be tricky to change later.

You will need a current W-4 form, available at www.irs.gov, and an I-9 form, available at www.uscis.gov. Every employee must complete section I on the I-9 form on the first day of employment and provide the required documentation by the third day.

Some employers choose to copy the identification provided by the employee, but be consistent and do the same for all employees. You are required to complete certain sections so you may want to review employer’s responsibilities listed on the same Web site.

Start identifying benefits you will offer. If you are considering offering insurance benefits, contact an insurance professional to begin the process.

Think about what paid time off you will offer such as holidays, vacation, sick time and so forth. Don’t be overly generous initially—it is easier to add benefits than to reduce benefits later.

You must display the required posters describing employee rights in a conspicuous location. There are companies that sell laminated posters or you may print them off various Web sites. As your employee base grows, your requirements for posters will change.

Growing your business by adding people is exciting. Make sure you take the time to plan that growth while staying in compliance with various laws.

[contact] Pat Connelly is a people systems consultant for Wipfli, the Twin Cities accounting and consulting firm: 651.766.2858; 952.548.3403; pconnelly@wipfli.com; www.wipfli.com