There is one number that will keep you up at night. One figure, beyond the miscellaneous bills and utilities, that will keep you up at night, seeming to creep ever higher: payroll. Each week paychecks go out; would-be profits, site improvements, or reinvestment into the company seem to go right out the door with them.

While there are many debatable expenses – fancy coffee makers for the office, individualized placards for the kennels – others are essential. Payroll is chief among them. The price for staff pays not only employees but is an investment in building a team that will be an asset to your daycare.

Just like many of life’s tough transitions, there are five stages to ease the pain and accept the price of your staff.

1. Realize you are not invincible
Roughly a century ago, American businesses were forced to realize that workers were neither indestructible nor disposable. A slew of protections like minimum wage, safety standards, overtime, and mandatory breaks came to be. These changes revolutionized the experiences of the American worker. What they did not do, however, was apply these same common sense protections to the entrepreneur.

Small business owners remain free to work at breakneck speeds for extended hours with no breaks or days off. While many of us start this way, there is a natural point in the business where we really can’t do everything ourselves. When we try, our frazzled presentation begins to tip off would-be clients that we are in over our heads.

Once we accept that working 20 hours a day on a coffee-and-pizza diet is not the best option for our long-term health or the health of our business, we are ready to delegate.

2. Accept the cost (or pay the penalty)
Once we have accepted that staff is necessary, it is time to spend. Spend time putting together comprehensive training materials and employee systems and policies, or spend money working with a consultant to have a clear plan for incoming staff. Spend money to offer staff above the going rate to attract excellent candidates. Spend time and money training new staff members until they are comfortable with their responsibilities and you are comfortable allowing them to represent your business.

What is the true cost of a bargain staff? Consider the image you want to send to your clients about your company. If you are growing, it is unlikely that you provide bargain service or strive for “good enough.” If you can’t be there yourself, you want to spend the money and time to make sure the best surrogate possible is in your place – or pay the penalty in lost business.

3. Maintain and build
Do not stop hiring. It is tempting to rest once your first staff is in place, happy with your newfound time for your marketing calendar and backlog of paperwork. Relax at your own risk. Even the best staff will degrade if left to their own devices. A simple paycheck, even benefits, are not enough to build loyalty, trust, and teamwork among your staff. Most employees are searching for more meaningful rewards, like feeling as if they are part of a community, seeing larger value to their role, and receiving meaningful feedback. Use some of that new time in your schedule to evaluate your employees and plan activities to bring them together. When they do a good job, remember to tell them.

4. Thin as necessary
Regular evaluations will give you a clear picture of who is a star and who needs work on your team. Most employees who are slipping just need simple reminders, retraining, or more frequent interactions to get back on track. Others have opted out – they undermine the team culture, are passively disrespectful, or do exactly as little as possible to squeak by. Terminate these employees quickly before their attitude spreads to the rest of the team.

5. Repeat
Remind yourself that a great staff allows you to work on the business rather than in the business. Constantly look for ways to improve and reward your current team, bring in great new people, and cut those who are working against the community. Check in with customers about staff interactions – who told them a cute story about their dog’s day or went out of their way to take an umbrella to their car in the rain. Know yourself, know your staff, and smile writing those payroll checks to reward yourself in time and business success.

Next Article