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HR for small businesses: what to know

  • While small businesses tend to forgo a human resources team, it’s important to have some help to maintain compliance and manage employees.
  • There are many HR services for small business owners available that can provide assistance while also keeping your labor costs low.
  • Homebase HR Pro gives you access to live, certified HR professionals who can answer tough questions and help you create great policies for your employee handbook.

Do I need an HR system for small business?

It can be common to forgo a human resources management team or small business HR solution in order to cut costs—but regardless, there are many HR requirements for small businesses that need to be followed.

Not having an onsite team to handle your HR processes may seem like a good idea to keep your labor costs down, but it is always important to have some sort of HR support besides relying on your managers—or even you as the small business owner—to keep your business compliant and manage your team.

There are many reasons you need to utilize some type of HR service for small businesses. For starters, you need someone to advise you on including hiring new employees and terminating team members when necessary. There are rules, guidelines, and laws around both, as well as a few best practices you can follow to avoid any potential issues that may arise.

Here’s an example: In order to prevent any accusations of wrongful termination, your small business HR consulting team may suggest implementing a performance management routine. This way you can document that you attempted to get the employee on the right track instead of terminating them instantly.

HR professionals can also help take care of many areas of paperwork that come with certain HR functions. This can include managing employee benefit administration if you offer things like paid leave or health insurance, which can be stressful and time-consuming when combined with the other aspects of running a small business.

One of the most important areas a human resource consulting team can help you with is remaining compliant with the many employment laws in place on both the federal and state level. It’s very important to keep up with the latest rules and regulations because not doing so can lead to heavy fines and penalties, so the extra help is a good idea.

Homebase HR Pro can help your small business with all these topics and more. When you sign up, you’ll get live access to certified HR experts who can help you stay compliant with labor laws like FMLA, FLSA, workplace safety, wage and hour laws, employee rights, blue laws, minimum wage rules, employing minors, review your existing policies. They’ll even guide you in creating new ones.

What can I do if my company doesn't have HR?

If you do not want to hire an HR professional full-time, you can instead opt for one of the HR software for small businesses that are available. These HR platforms offer talent management, employee data storing features, and other helpful tools that you can often access with a mobile app.

The best HR software for small business should be able to give you a better understanding of what it takes to remain compliant and manage your team in the best way possible. For example, Homebase HR Pro provides a team of certified advisors who can answer the most important HR questions on issues like employee handbook building, crafting the perfect scheduling practice, and implementing great paid leave policies.

If you already have policies in place for paid time off, hiring and firing, or any other guidelines you implemented into your handbook, our HR Pros can review them for you and provide optimization tips so your small business employee rules and regulations are in good shape.

You may also be looking to create new policies but are not sure how to go about writing or implementing them. Our HR Pros will advise you on how to do so in a way that works best for your team and is not too complicated to manage without an HR team to handle it for you at your business.

Not only will our HR Pro experts provide live guidance and advice, but they will also give you full access to on-demand training so you can learn how to do HR and equip yourself with the necessary information you need to ensure a smoothly running business. You can use videos, tools, webinars, and other content that will teach you how to write a great handbook, onboard employees, maintain important documents, and more.

Speaking of your employee handbook, HR Pro will create a customized handbook for your business that you can distribute to your team. And if you already have a handbook in place at your business, our experts will take a look at them for you and make sure you are providing the best policies to your employees.

Do you have trouble keeping up with the latest employment law changes? HR Pro will also send you the most up-to-date information, ensuring that you have the most important information from a reliable source to avoid running into major compliance issues.


“We grew so attached to Homebase that I almost didn’t switch to a better POS system because I was worried about not being able to integrate Homebase. Luckily, we were able to upgrade our POS and keep Homebase - best of both worlds!”

Marko Sotto

Owner at Barzotto

Work from anywhere using timeclock app

How do I set up HR for a small company?

There are many avenues you can take to obtain HR help, including hiring an actual professional that works onsite, outsourcing your HR through a third-party company, or utilizing an HR software that helps you with the most important human resource topics.

If you sign up for Homebase, you can also sign up for HR Pro when you opt for the All-in-One plan. This plan includes everything you need to manage your small business team including time tracking, scheduling, team communication, and access to every resource HR Pro provides.

Once your account is set up and you’re ready to start utilizing the benefits of HR Pro, you can do so in your Homebase dashboard. If you have a question for the certified experts, you can submit a trackable ticket that will let you know if an expert has started working on your issue and when they respond.

The best part is you can do all this in your mobile app, where you can also view labor costs, timesheets, time-off requests, scheduling changes, and more. Get started today and integrate your total team management platform with the added benefit of expert HR assistance.