An Opinion Piece
Many employers have reservations when a potential or existing employee has a small business, side hustle, or entrepreneurial venture. The most common concerns with entrepreneurial employees are that they’re a flight risk (prone to leaving at any time without notice), are less productive (more motivated to work for themselves), and that they’re stealing customers by building a book of business from their employers’ connections.
These risks can happen whether or not an employee has additional sources of income.
When an employee is not solely reliant upon their salary, there is absolutely a risk that they will leave when their role becomes challenging, quit without notice, or build a book of business from the connections formed at their traditional employment; but the unfortunate truth is that these risks can happen whether or not an employee has additional sources of income. What is less commonly talked about are the benefits an employee brings when they have a separate business or income stream.
When an existing or potential employee owns or is growing an entrepreneurial venture, they bring more to the table than the applicable skills listed on their resume. Entrepreneurial employees better understand the cost of hiring someone, the cost of acquiring new customers, the importance of succession planning, and the necessity for realistic projections. When an employee is also an employer they recognize the need for transparency whether employees are submitting project proposals, looking to transition into a new role, or pursue a new client. Employees who run their own businesses provide:
- unique perspectives;
- connections to unexpected networks and industries;
- greater diversity of problem solving skills; and
- better understand the cost of doing business.
Accepting potential risks as fact without – at minimum – consider the possible advantages … hinders an organization by incentivizing secrecy.
Whether as a parent, friend, board member, student, business owner, or volunteer, everyone has responsibilities and commitments outside of their professional lives. A lack of external commitments nor a pristine resume can indicate the successful fulfillment of a position’s roles and responsibilities; there is always risk when hiring for, promoting to, or modifying a position. Accepting potential risks as fact without – at minimum – considering the possible advantages of hiring or promoting someone with an entrepreneurial spirit/additional income sources hinders an organization by incentivizing secrecy. Instead of punishing individuals that promote and model transparency, recognize, encourage and endorse their honesty.